Keyword
PACICC
How the industry’s ROE is trending
April 26, 2023 by Jason ContantThe Canadian property and casualty insurance industry’s return on equity (ROE) last year dropped a few percentage points from the 17% to 18% level it was in 2021, but it’s still above the long-run average of 10.1%, a new industry…
PACICC urges feds to move on quake backstop
April 20, 2023 by David GambrillCanada’s insurance industry compensation fund for policyholders hopes the federal government’s 2023 budget commitment to a flood insurance program for high-risk properties will expedite discussions about the urgent need for a similar backstop for earthquake losses. “We will continue to…
Why 2022 industry results could be one for the record books
January 27, 2023 by Jason ContantHistorically good underwriting combined with historically bad investment results have made the Canadian P&C industry’s 2022 Q3 financial results unique, per the latest quarterly report from the Property and Casualty Insurance Compensation Corporation (PACICC). The decline in investment returns is…
What the industry needs to fund the bankruptcy of a Top 70 insurer
July 11, 2022 by David GambrillCanadian P&C insurers need a compensation fund four times bigger than its current size of $60 million to handle “systemic contagion” associated with the insolvency of a Top 70 P&C insurer or bankruptcy related to a major earthquake, says the…
Why you can expect to be in the hard market a year from now
June 15, 2022 by Alyssa DiSabatinoInflationary pressure will prolong the hard market for at least another year if not longer, 90% of more than 200 respondents predicted in a Canadian Underwriter webinar poll. Only 10% of respondents were optimistic the hard market would not be…
Industry’s return on equity sky-high in 2021
March 30, 2022 by Alyssa DiSabatinoAt 18%, the industry’s return on equity was sky-high for the first three quarters of 2021, but industry observers warn this could be cut in half in two years. While these high profits have reduced solvency risk for most…
Should PACICC purchase reinsurance?
January 13, 2022 by Jason ContantCanadian P&C insurers have expressed mixed views about whether the Property and Casualty Insurance Compensation Corporation (PACICC) should purchase reinsurance to mitigate the impact of a natural catastrophe-triggered default of a member insurer. However, a PACICC industry consultation paper found…
Is it time for a larger insolvency fund for Canadian P&C insurers?
September 28, 2021 by Jason ContantCanada’s Property and Casualty Insurance Compensation Corporation (PACICC) is considering whether it needs to increase the size of its compensation fund in the event of a P&C insurer failure. PACICC’s board has asked management to complete a formal review of…
What to tell your clients when their insurer goes bust
August 13, 2021 Canadian Underwriter StaffWhat would happen if a property and casualty insurer were to go bust? Last week, thousands of Florida home owners were left scrambling for coverage when — during peak hurricane season — Sarasota-based Gulfstream Property & Casualty announced its liquidation…
Should the Canadian P&C industry be concerned about BI court cases?
April 16, 2021 by Adam MalikFor now, little evidence exists that courts will adjudicate against Canada’s property and casualty insurers in litigation related to business interruption claims stemming from the COVID-19 pandemic, according to an industry executive. At the recent CIP Society Symposium 2021 virtual…
COVID’s impact on the Canadian P&C industry’s capital base
March 22, 2021 by David GambrillCOVID-19 may have affected the earnings of individual P&C insurers unevenly, but the industry’s overall capital base reached the unparalleled height of $52.6 billion during the first three quarters of 2020, according to the Property and Casualty Insurance Compensation Corporation…
Who PACICC has added to its board of directors
April 15, 2020 by Greg MeckbachDavid MacNaughton (pictured), president of Palantir Canada and former ambassador to the United States, is now a board member of Property and Casualty Insurance Compensation Corporation (PACICC). Also joining the PACICC board are Christian Fournier, president and chief operating officer…