April 30, 2018 13:30
Photo : Freepik
The year 2018 begins in the red for the Company Co-operators general insurance. The insurer recorded a net loss in the first quarter of $ 27.8 million, while it had a net income of$ 34.6 Million in the same period last year.
The combined ratio also deteriorated by five points to rise to 107.5 %, due to an increase of 18.4 % of the net amount of the claims and settlement costs undiscounted. The ratio loss-premium amounted to 74,5 %. In addition, the insurer points out that the costs related to claims increased due to an increase in the severity of losses in property insurance.
Direct written premiums, however, increased 11 %, to reach 599,7 M$. The Co-operators attributed the improvement to the increase in the number of policies and e vehicles and average premiums higher. The net earned premiums have seen a growth of 8 % amounting to 658,1 M$.
«The first quarter has been difficult, our net income deteriorated compared with the first quarter of the previous fiscal year. This decrease is attributable to the significant losses related to property, increased costs related to claims in automobile insurance and the investment returns unfavorable, » says Rob Wesseling, president and chief executive officer of Co-operators.