News
US insurer profitability continues slide: ISO
November 21, 2003 by Canadian UnderwriterThe US p&c industry will continue to see a downward trend in profitability despite rate increases, predicts the US Insurance Services Office (ISO). The ISO is projecting a combined ratio of 102.9% for 2003, and about 101% for 2004, but…
Alberta auto reforms promise $250 million premium savings
November 21, 2003 by Canadian UnderwriterIntroducing a new “premium grid” for auto insurance policyholders, the Alberta government says its reforms will lead to $250 million in savings for the province’s drivers.According to the grid, a “benchmark premium” for drivers with clean records would be set,…
California wildfire loss estimate $2 billion: ISO
November 20, 2003 by Canadian UnderwriterDespite rating agency estimates of a much higher insured loss from last month’s California wildfires, insurers should face a bill of about US$2.04 billion says the US Insurance Services Office (ISO). The ISO’s property claim services unit says the fires…
Optimum General turnaround continues
November 20, 2003 by Canadian UnderwriterMontreal-based Optimum General continued to climb back into the black in the third quarter ending September 30, 2003, posting net profit of $411,000, or $0.04 per share, compared with a net loss of $743,000, or $0.07 per share, in third-quarter…
SCOR Canada CEO to take over SCOR US top spot
November 19, 2003 by Canadian UnderwriterSCOR Canada president & CEO Henry Klecan Jr. will be adding another title to his business card, with the parent company announcing he will assume responsibility for SCOR US. Klecan says he is “extremely flattered by the confidence SCOR Group…
Odyssey Re to sell $75 million in senior notes
November 19, 2003 by Canadian UnderwriterFairfax’s Odyssey Re Holdings Corp. (NYSE: ORH) says it has made an agreement with a syndicate of underwriters to sell US$75 million in 10-year senior notes. The notes will bear interest of 7.65% annually, paid semi-annually starting in May 2004.The…
Co-operators reports income jump, claims improvement
November 18, 2003 by Canadian UnderwriterGuelph, Ontario-based Co-operators General Insurance Co. (TSX: CCS.PR.A) is reporting solid net income of $10.93 million, or $0.48 per share, for the third quarter ending September 30, 2003, a turnaround from the net loss of $3.4 million, or $0.23 per…
High claims satisfaction rates come despite auto rate concerns
November 18, 2003 by Canadian UnderwriterResponding to the high overall score by the Ontario auto insurance industry on the recent “claims satisfaction survey”, the Insurance Bureau of Canada (IBC) says the results highlight the need the make the private insurance system work.“Despite a lot of…
St. Paul, Travellers to merge in US$16 billion deal
November 17, 2003 by Canadian UnderwriterU.S.-based The St. Paul Companies Inc. and Travelers Property Casualty Corp. have announced they will merge to form the second-largest insurer south of the border. The deal, valued at US$16 billion, is a tax-free, stock-for-stock merger that has been approved…
ICBC gains approval for premium rate increase
November 17, 2003 by Canadian UnderwriterB.C.’s Utilities Commission has approved a 0.4% increase in the premium rate for mandatory auto insurance made available through crown insurer, the Insurance Corp. of British Columbia (ICBC). ICBC says it will also increase optional insurance coverage rates by 0.4%,…
Insurers have “long way to go” on risk and capital management
November 14, 2003 by Canadian UnderwriterGlobal insurers are lagging in the implementation of programs to management risk and capital within their own organizations, according to a new study by Ernst & Young LLP.The “risk management and capital management survey” shows that 65% of insurers are…
Kingsway disposes of holding in U.S., Florida-based MGA
November 14, 2003 by Canadian UnderwriterKingsway Financial Services (TSX: KFS) has sold its approximate 25% equity stake in USA Insurance Group to BISYS Group Inc. (NYSE: BSG) for a net proceed (consisting of both cash and stock in BSG) of about US$19.6 million. USA Insurance…