Canadian insurers record first underwriting loss since 2002
The Canadian general insurance industry recorded its first underwriting loss in six years during the first quarter, as the combined ratio surged to 104.3%.
Net underwriting income plunged from C$289 million ($298 million) in the first quarter of last year to a loss of C$353 million ($364 million).
The combined ratio jumped nearly eight percentage points from 96.4%.
Overall income including profit from investments declined 25% to C$677 million ($698 million).
Canadian Underwriter, which published the findings last week, says the sluggish results can be attributed to volatile financial markets, the removal of the cap on minor injury payouts in Alberta and a depressed Ontario motor market.
Net underwriting income plunged from C$289 million ($298 million) in the first quarter of last year to a loss of C$353 million ($364 million).
The combined ratio jumped nearly eight percentage points from 96.4%.
Overall income including profit from investments declined 25% to C$677 million ($698 million).
Canadian Underwriter, which published the findings last week, says the sluggish results can be attributed to volatile financial markets, the removal of the cap on minor injury payouts in Alberta and a depressed Ontario motor market.