2022-23 SGI CANADA Annual Report
Notes to the Consolidated Financial Statements
March 31, 2023
1. Nature of Operations
Saskatchewan Government Insurance (SGI), which operates under the trade name of SGI CANADA (the Corporation),
is incorporated, registered and conducts a property and casualty insurance business in the Province of
Saskatchewan and in other provinces of Canada through its wholly-owned subsidiary SGI CANADA Insurance
Services Ltd. (SCISL). SCISL operates directly in Saskatchewan, Alberta, Manitoba, British Columbia and Ontario.
SCISL also has a wholly-owned subsidiary, Coachman Insurance Company (Coachman), that operates in Ontario.
The address of the Corporation's registered head office is 2260-11th Avenue, Regina, SK, Canada.
In many provinces in Canada, automobile insurance premium rates are regulated by provincial government
authorities. Regulation of premium rates is based on claims and other costs of providing insurance coverage, as well
as projected profit margins. Regulatory approvals can limit or reduce premium rates that can be charged or delay
the implementation of changes in rates. The Corporation's automobile premiums are subject to rate regulation in
Alberta and Ontario and represent approximately 16.9% (2022 – 16.3%) of the Corporation's consolidated gross
premiums written.
SGI was established as a branch of the public service by The Government of Saskatchewan Act, 1944, reorganized
pursuant to The Saskatchewan Government Insurance Act, 1946, and continued under the provisions of
The Saskatchewan Government Insurance Act, 1980. SGI also acts as administrator of the Saskatchewan Auto Fund
under the provisions of The Automobile Accident Insurance Act. As a provincial Crown corporation, the Corporation is
not subject to federal or provincial income taxes; however, SCISL and Coachman are subject to federal and provincial
income taxes.
As a subsidiary of Crown Investments Corporation of Saskatchewan (CIC), the consolidated financial results of
the Corporation are included in the consolidated financial statements of CIC. CIC is ultimately owned by the
Government of Saskatchewan.
2. Basis of Preparation
Statement of compliance
The consolidated financial statements have been prepared in accordance with International Financial Reporting
Standards (IFRS). References to IFRS are based on Canadian generally accepted accounting principles for publicly
accountable enterprises as set out in Part 1 of the CPA Canada handbook. Part 1 of the CPA Canada handbook
incorporates IFRS as issued by the International Accounting Standards Board (IASB) and interpretations of the
International Financial Reporting Interpretations Committee.
Basis of measurement
The consolidated financial statements have been prepared using the historical cost basis, except for certain financial
instruments and the provision for unpaid claims and unpaid claims recoverable from reinsurers and the accrued
pension liability. The methods used to measure the values of financial instruments are discussed further in note 3.
The provision for unpaid claims and unpaid claims recoverable from reinsurers and the accrued pension liability are
measured on a discounted basis in accordance with accepted actuarial practice (which in the absence of an active
market provides a reasonable proxy of fair value).
2022-23 SGI CANADA Annual Report 39View entire presentation