Share
Posted April 26, 2013

____________________
Quarterly Results

Co-operators General Insurance Company Reports First Quarter 2013 Results

GUELPH - Co-operators General Insurance Company released consolidated financial results for the three months ended March 31, 2013. Consolidated net income was $58.1 million compared to $66.5 million for the same quarter in 2012. This resulted in earnings per common share of $2.69 for the quarter compared to $3.11 in the same period last year.

"We are pleased with our first quarter results, and with the client growth we experienced in our core product lines," said Kathy Bardswick, president and CEO of The Co-operators. "Net income was down $8.4 million compared to the same period last year, during which we benefitted from unusually mild winter weather. Winter weather returned this year, but our results remained strong as the company earned net income of $58.1 million and maintained a strong and stable balance sheet."

CO-OPERATORS GENERAL'S FIRST QUARTER FINANCIAL HIGHLIGHTS

First quarter review

DWP in the first quarter has increased by 1.8% or $8.1 million to $447.2 million compared to the same quarter last year. DWP improvements are attributable to vehicle and policy count growth mainly in the auto and commercial lines of business. NEP has increased during the first quarter by 2.4% or $11.6 million compared to the same period last year. NEP increased in all of our core lines of business and across all regions of the country.

Net investment income and gains increased by $0.1 million versus the first quarter of 2012. This is attributable to more realized gains and less impairment losses, which offset lower interest income and the negative change in fair value over the same period last year.

The combined ratio, excluding the market yield adjustment (MYA) for the quarter was 95.4% compared to 91.3% for the comparable period last year. Undiscounted net claims and adjustment expenses have increased by 11.8% from the first quarter 2012, bringing the loss ratio to 61.0%, excluding MYA for the first quarter. This is the outcome of more accident year claims and unfavourable claims development. Unfavourable claims development in the first quarter of 2012 was unusually low; the first quarter of 2013 reflected more characteristic levels. The expense ratio decreased 1.0 percentage point to 34.4%, compared to 35.4% for the same period in 2012. Our expense ratio has improved due to our continued focus on holding expenses while growing premium.

Our portfolio composition is conservative and is comprised of high quality and well diversified assets. The credit quality of our portfolio remains high with 92.7% of our bonds rated A or higher. Our equity portfolio is 81.7% weighted to Canadian stocks.

Capital

The Company's capital position remains strong, as the Minimum Capital Test (MCT) for Co-operators General Insurance Company was 263% at March 31, 2013, well above the regulatory minimum requirement of 150%.

Submit press release to pressrelease@exchangemagazine.com - Editor Jon Rohr - Content published on this site represents the opinion of the individual/organization and/or source provider of the Content. ExchangeMagazine.com is non-partisan, online journal. Privacy Policy. Copyright of Exchange produced editorial is the copyright of Exchange Business Communications Inc. 2012/*.*. Additional editorials, comments and releases are copyright of respective source(s) and/or institutions or organizations.

And receive it on your PDA or Desktop
 




Contact an Exchange Representative

Current Exchange Magazine:
Download PDF To Read on your PDD



Submit Press Release
Visitor Centre
Weather
Advertising Inquires
Email
Tel: 519.886.0298

Subscribe to Exchange Magazine -

Contact Information:

Publisher:
Exchange Business Communication Inc.
Waterloo, Ontario
, Canada

Contact Editors
editor@exchangemagazine.com

Print Editor - Paul Knowles
Daily Editor - Jon Rohr

Account Manager Sales
John Hobin
advertise@exchangemagazine.com