The Co-operators attributes positive Q1 earnings to home insurance portfolio

Co-operators General Insurance Company posted a consolidated net income of $25.8 million in 2011 Q1, compared to $31.8 million for the same quarter in 2010.
“Earnings in the first quarter were positively impacted by strong results in the home insurance portfolio and improving claims experience related to the Ontario auto insurance market,” Kathy Bardswick, president and CEO, said.
“Six months after the implementation of the Ontario auto reforms, we have seen a decline in the volume of claims. However, we remain concerned about a potential increase in bodily injury claims.
In commercial lines, the company was “challenged in this quarter by large losses in the commercial portfolio in Western Canada and farm business losses in Quebec,” Bardswick observed.
Overall, the company’s gross written premium for 2011 Q1 was $479.7 million, compared to $462.2 million in 2010 Q1.
The annualized return on average equity for the first quarter was 8.1% compared to 10.3% in the same quarter of 2010.
The combined ratio, excluding market yield adjustment, for 2011 Q1 was 103.4%, compared to 100.2% in 2010 Q1.