Alberta incorporated P&C insurers show signs of growth in 2010

Alberta incorporated property and casualty insurers showed strong signs of growth in 2010, with an increase in collective net income growing from $40.7 million in 2009 to $63.1 million in 2010, according to postings by Alberta’s Superintendent of Insurance.
The figures include:
• Alberta Motor Insurance Company;
• Canadian Farm Insurance Corp;
• Fortress Insurance Company;
• Millenium Insurance Company;
• Peace Hills Insurance Company; and
• Trans Global Insurance Company.
Only one insurer posted a net loss in 2010, Canadian Farm Insurance Corp. But, the size of the net loss in 2010 reported by Canadian Farm Insurance Corp has decreased from 2009’s loss of $2.9 million to a loss of $893,000 in 2010.
Canadian Farm was also one of two insurers to post an underwriting loss in 2010, Fortress Insurance Company was the other. While Canadian Farm’s underwriting loss shrank from a loss of $3.3 million in 2009 to a loss of $1.1 million in 2010, Fortress reported an increase in underwriting loss from 2009 to 2010 (loss of $821,000 and loss of $2 million, respectively.
Collectively, the group of insurers posted an underwriting income of $48.2 million in 2010, marking an improvement from 2009’s underwriting income of $32.3 million.
Investment income also showed signs of improvement for the group, growing from $21.65 million in 2009 to $36.8 million in 2010.
Notably, Peace Hills Insurance showed the strongest signs of growth in 2010. Its net income ballooned form 2009’s $3.2 million to $12.4 million in 2010. The insurer saw significant gains in both its investment income and underwriting income. In 2010 it reported an investment income of $7.1 million (compared to $2 million in 2009) and an underwriting income of $10.5 million (compared to $2.6 million in 2009).