Investor Presentaiton
•
•
•
•
P&C insurance in Canada
A $45 billion market representing approximately 3% of GDP
Fragmented market:
-
-
Top five represent 47%, versus bank/lifeco
markets which are closer to 65-75%
IFC is largest player with approx. 17%
market share, versus largest bank/lifeco
with 22-25% market share
- P&C insurance shares the same regulator
as the banks and lifecos
Barriers to entry: scale, regulation, manufacturing
capability, market knowledge
Home and commercial insurance rates
unregulated; personal auto rates regulated in
some provinces
Capital is regulated nationally by OSFI
Brokers continue to own commercial lines and a
large share of personal lines in Canada; direct-to-
consumer channel is growing (distribution =
brokers 65.1% and direct/agency 34.9%)
Industry DPW by line of business
Personal
Property,
22%
Personal
Auto, 38%
Commercial
P&C and
other, 33%
Commercial
Auto, 7%
Industry - premiums by province
Quebec,.
16%
Alberta,
18%
•
Industry has grown at 6% CAGR and delivered
ROE of approximately 10% over the last 30 years
Industry data: IFC estimates based on IBC and MSA Research excluding Lloyd's, ICBC,
SAF, SGI, MPI and Genworth. Data as at the end of 2014.
OSFI = Office of the Superintendent of Financial Institutions Canada
Intact Financial Corporation
Ontario,
47%
Other
provinces
and
territories,
19%
[15]View entire presentation