2022-23 SGI CANADA Annual Report
Claims incurred
Net claims incurred
Consolidated loss ratio
(thousands of $)
2023
2022
701,192
594,389
61.9%
57.3%
Change
106,803
4.6%
Net claims incurred increased by 18.0% from last year while the consolidated loss ratio increased by 4.6 percentage
points compared to the prior year. Every jurisdiction saw increased loss ratios compared to the prior year.
One major cause of the increase was significantly higher costs in auto claims in the provinces those products are
sold (Saskatchewan, Alberta, and Ontario), due to drivers continuing to return to the roads after the slowdown
during the pandemic, high levels of inflation and supply chain challenges. As well, the claim costs associated with
catastrophic storms increased by 48.9% this year.
The following chart summarizes loss ratios by jurisdiction:
Loss Ratios
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
57.9% 54.9%
57.7% 50.7%
64.4% 63.4%
62.4% 60.3%
77.4% 61.2%
61.9% 57.3%
Saskatchewan
Manitoba
Alberta
British Columbia
Ontario
Consolidated
2023 Base Claims
2022 Base Claims
Catastrophe Claims¹
1 Catastrophe claims, also referred to as storm claims, represent claims occurring from a single event, limited to a period between 96 and 168 hours,
with an estimated cost greater than $2.5 million (Saskatchewan) or $1.0 million (other jurisdictions). Catastrophic events for the Corporation
generally relate to summer wind, rain and hailstorms, forest fires and winter ice storms.
Saskatchewan's loss ratio of 57.9% is an increase from last year's loss ratio of 54.9%. This was largely driven by an
increase in farm, personal lines and personal and commercial auto claims in addition to an increase in catastrophe
claims. There were $63.9 million in catastrophe claims that occurred in the current year, compared to a total
of $42.2 million in the prior year.
Manitoba's loss ratio increased to 57.7% from 50.7% in the previous year due to an increase in claims in personal and
commercial lines. Catastrophe claims increased from $0.3 million last year to $3.8 million in the current year.
The Alberta loss ratio increased from 63.4% in 2022 to 64.4% in 2023 primarily due to increased farm and personal
auto lines losses. Catastrophic claim activity in the year amounted to $10.2 million compared to $7.7 million in 2022.
16 2022-23 SGI CANADA Annual ReportView entire presentation