Insurable Interest Canadian Insurance Blog

Stronger profitability enables non-life insurance industry to increase capital and capacity to match growing demand as risks evolve Cost of equity capital for global non-life insurance industry raised to highest level in more than a decade Benefit of higher interest rates on insurers’ investment results far outweighs associated higher cost of capital New York, NY (Sept. 9, 2023) – The non-life insurance industry is adjusting rapidly to the new higher interest rate era ushered in by the most intense monetary policy tightening since the 1980s. Swiss Re Institute expects 2023 to be a transition year – with improving profitability for non-life insurance globally, as the industry continues to adapt prices to an elevated risk landscape, while higher portfolio yields boost net investment income. According to the sigma study “Raising the bar – non-life insurance in a higher risk, higher return world,” despite the stronger profitability outlook, non-life insurers’ profitability is expected to remain lower than their increased cost of capital in 2023. This suggests that further rate hardening and constraints on capacity are likely to continue throughout 2024. Jérôme Jean Haegeli, Swiss Re’s Group Chief Economist, said: “Our analysis shows that non-life insurers’ profitability is set to improve strongly in...

Toronto, ON (Sept. 12, 2023) – Canadian Broker Network (CBN), Canada’s leading network of independent insurance brokers, is pleased to announce its 2023 Underwriters of the Year. “CBN members have personally selected these personal and commercial underwriters as having met and exceeded our award criteria,” said Lorie Phair, President of CBN. The criteria includes: underwriting excellence and risk knowledge; being available to our teams; writing business that satisfies clients’ needs while creating a win-win for the broker and the insurer; a positive, helpful attitude; and investing time to develop trusting relationships with brokers. “These are significant achievements that underscore the importance and value of broker-underwriter relationships,” said Andrew Kemp, Chairman of CBN. “We congratulate all of our winners and thank them for their contributions as we continue our vision to help secure the future success of independent brokers.” Commercial Award Recipients: Amir Ali Akbarli, Economical Insurance Kathy Bartolitius, Peace Hills Insurance Brad Clisdell, Aviva Canada Stephanie Hodson, Aviva Canada Jordan Hollett, Trisura Guarantee Insurance Company Mark Hoyte, Northbridge Insurance Francois Letourneau, Sovereign General Insurance Natalie Magaletta, Northbridge Insurance Lisa Moores, Intact Insurance Matt Pike, Travelers Canada Katie Stanley-Paul, Intact Insurance Greg Steinbach, Intact Insurance Linda Tetreault, Aviva Canada Personal Award...

Toronto, ON (Sept. 11, 2023) – As Canada faces an auto theft crisis, insurers are taking proactive steps to better protect consumers and their vehicles. “Fighting auto theft requires a whole-of-society approach – and Canada’s insurers are proudly doing their part,” said Amanda Dean, Interim Vice-President, Ontario, Insurance Bureau of Canada (IBC). “While insurers are taking proactive steps to better protect their customers, our industry cannot combat auto theft alone. All stakeholders, including governments, law enforcement and auto manufacturers, have a critical role to play and must take immediate steps to address the auto theft crisis.” As revealed by Équité Association in a recent media release, 2022 marked the first time in history when Canada’s insurers paid over $1 billion in claims for stolen vehicles.[1] Regions at higher risk of auto theft include the Greater Toronto Area (GTA), which is responsible for approximately $500 million of this total. Three regions in the GTA that have seen some of the steepest increases in auto theft insurance claims costs in the country over the last five years are Durham (+561%), Halton (+514%) and York (+497%). In Ontario alone, theft claims costs were approximately $700 million in 2022, up from approximately $160 million...

Westland continues to grow across Canada with acquisition in Saskatchewan Surrey, BC (Sept. 6, 2023) – Westland Insurance, Canada’s leading independently-owned insurance brokerage, is pleased to announce that it has acquired Insurance Matters Inc. This acquisition further solidifies Westland’s position as a prominent player in the Prairies and marks a significant step towards expanding its operations in Saskatchewan. Insurance Matters is a family-owned insurance brokerage with four locations throughout Saskatchewan in Wadena, Kelvington, Wynyard, and Invermay. It offers residential, commercial, farm, and auto insurance. Each of its four locations brings Westland into a new city, giving the brokerage the opportunity to serve more clients throughout the province. “We’re thrilled to welcome Insurance Matters to the Westland family,” said Jamie Lyons, President and CEO of Westland Insurance. “This partnership presents a fantastic opportunity for Westland to extend its reach and offer our insurance solutions to even more communities in Saskatchewan.” Westland continues to invest in and grow its business in Canada, both organically and through strategic acquisitions. About Westland Insurance Group Westland Insurance Group is one of the largest and fastest-growing independent insurance brokers in Canada. Trading over $3 billion of premium, Westland continues to expand coast to coast. Westland’s brokers...

HUB International Strengthens Cannabis Insurance Capabilities with the Acquisition of GJJK Inc. in Ontario Chicago, IL (Sept. 7, 2023) – Hub International Limited (Hub), a leading global insurance brokerage and financial services firm, is pleased to announce that it has acquired GJJK Inc. (GJJK). Terms of the transaction were not disclosed. Located in Mississauga, Ontario, Canada, the insurance brokerage provides commercial and personal insurance to clients and specializes in the cannabis industry. Their specialization in the cannabis industry supports Hub’s Specialty practice by complementing and strengthening its existing capabilities. Owner Fady Kamel and his team will join Hub Ontario. “We are excited to bring on Fady and the team to Hub,” said Susan Murphy, President & CEO Hub Ontario. “They will help expand our specialty expertise in this vertical.” “This acquisition is yet another example of our commitment to a space that continues to be underserved by the insurance market,” added Jay Virdi, Hub Chief Sales Officer, Cannabis Specialty Practice. “By adding additional expertise and experience to our practice group, Fady and his team will continue to propel Hub as the industry leader in risk management, insurance solutions, employee benefits and financial wealth services for the cannabis industry.” Some recent...