Loss ratios increase for Saskatchewan hail, auto insurers

Saskatchewan non-life insurers saw their loss ratios increase 6.4% in 2007, according to statistics recently released by the provincial insurance regulator.
In total, Saskatchewan’s non-life insurance industry showed a loss ratio of 64.8% in 2007, up from 60.9% in 2006.
Hail insurance (94.4%) and auto accident insurance (94.4%) represented the non-life insurance lines with the highest loss ratios in the province in 2007.
Provincially licensed insurers reported Cdn$80.2 million in direct premiums written (DPW) in the hail insurance line, while claims incurred in hail insurance amounted to Cdn$75.8 million in 2007.
The loss ratio in hail insurance is actually down from its 2006 total of 103.4%, although loss ratios in the hail insurance line ranged between 55.9% and 77.2% from 2002-05.
In the auto accident insurance line, the loss ratio in 2007 was at its highest total since 2001, when the loss ratio hit the 110.8% mark.
In auto accident insurance lines, Saskatchewan insurers reported Cdn$561.6 million in direct premiums written in 2007, while claims incurred in the same period amounted Cdn$523.8 million.
Overall, Saskatchewan’s non-life insurance industry reported Cdn$1.797 billion in direct premium written for 2007, representing a 6.5% increase in DPW over 2006.