ICBC sees slight decrease in Q1 income

The Insurance Corporation of British Columbia (ICBC) has reported a net income for 2008 Q1 of Cdn$102 million, down slightly from Cdn$111 million for 2007 Q1.
“ICBC’s strong financial results this quarter are the result of better-than-expected investment income and continued attention to operating costs,” Geri Prior, ICBC’s interim president and CEO, said in a release. “As the provincial economy continues to grow, there are more insured cars on the road, and our customers are increasing their coverage with us.”
Claims and related costs for 2008 Q1 were Cdn$761 million, 3% higher than for 2007 Q1.
For 2008 Q1, the expense ratio operating costs, broker commissions and premium taxes as a percentage of earned premiums is 18.3%, compared to 18.0 % for 2007 Q1.
In line with market trends, ICBC’s investment income of Cdn$125 million for the first three months of 2008 was lower than the Cdn$154 million investment income for the same period last year, the company reports.
Results saw lower gains on equities and higher gains on bonds compared to the same quarter in 2007, according to the release.