RSA Canada reports 20% increase in premiums, underwriting profit in 2011 first-half

RSA Canada has reported a 20% increase in its net written premiums and underwriting profit in the first half of 2011, compared to its half-year results last year.
The company’s combined operating ratio (COR) was 92.1% in the first half of 2011.
RSA reported net written premiums of $1.1 billion, up 20% from $917 million last year. Also, its $85-million underwriting profit in the first half of 2011 was up 20 %, or $14 million, ahead of the same point last year.
The company said its first half underwriting profit includes the impact of large and weather-related losses – in particular, wildfires in Slave Lake Alberta and severe storms in Ontario.
“The results are underpinned by solid organic growth in our personal and commercial lines and positive rate activity,” RSA Canada president and CEO Rowan Saunders said in a press release. “With market consolidation, improving trends in Ontario auto due to reforms, and a sophisticated underwriting approach, we’re well-poised to continue delivering on our overall strategy into the next half of 2011.” In personal lines, including Johnson Inc., premiums were up 9% (up to $731 million), with an underwriting profit of $44 million and a COR of 94.1%, despite the impact of severe weather.
“The results were achieved due to strong growth in the Ontario and Pacific regions, new business in personal specialty insurance and rate increases,” the company said.
In commercial lines, premiums were up 53%, to $371 million. The company’s underwriting profit was $41 million in the commercial lines segment, with a COR of 86.6%.