September 23, 2009 by Canadian Underwriter
JEVCO Insurance Company will assume the assets and liabilities of Kingsway General Insurance Company (KGIC), effective Oct. 1, 2009, subject to regulatory approval.
Both KGIC and JEVCO are subsidiaries of Kingsway Financial Services Inc. (Kingsway).
JEVCO will be Kingsway’s marketing brand in Canada, according to a release.
All new and renewal business will be written on JEVCO paper as of Oct. 1, the company noted.
Serge Lavoie will continue as president and CEO of the combined Canadian company.
“We believe that JEVCO’s 20-year track record of profitability gives us a strong foundation for achieving greater financial stability in our Canadian business portfolio,” Colin Simpson, president and CEO of Kingsway, said in the release. “The consolidation of Kingsway’s Canadian business is a key component of our business plan to rebuild Kingsway’s reputation and deliver greater value to our shareholders and business partners.”
The consolidation of Kingsway’s Canadian operations is expected to contribute to a reduction of the company’s operating expenses, the release notes.