Federally regulated foreign insurers see drop in 2010 net income

Federally regulated property and casualty insurers reported a net income of $2.5 billion in 2010, virtually flat from 2009’s net income of $2.52 billion, according to filings with the Office of the Superintendent of Financial Institutions (OSFI).
Foreign P&C insurers reported a sharp drop in net income year-over-year, dropping from $950 million in 2009 to $12.6 million in 2010. The group of insurers also reported a significant deterioration in underwriting income, from $326 million in 2009 to an underwriting loss of $591 million in 2010. Net premiums written for foreign insurers reporting to OSFI increase in 2010, from $7 billion in 2009 to $7.5 billion in 2010.
Canadian P&C insurers regulated by OSFI, on the other hand, reported an increase in net income from 2009 to 2010 ($1.6 billion and $2.4 billion, respectively). This group of insurers also saw gains in underwriting income, from an underwriting loss of $260 million in 2009 to an underwriting income of $466 million in 2010.
Net premiums written for domestic federally regulated insurers also increased, from $25.4 billion in 2009 to $27 billion in 2010.