July 27, 2018 11:30
The Co-operators has shown a loss of four million dollars ($M) in the second quarter of 2018. Mother Nature is in question, justifies the insurer.
Over the last four quarters, the Co-operators has shown three times of the losses. Since the beginning of 2018, its loss amounted to $ 31 million.
In 2017, the second quarter, Co-operators had reported net income of$ 29.1 Million. For the first half of 2017, its net income was 63.6 M$. It is a difference of 92.7 M$ between the first six months of 2017 and 2018.
The insurer has submitted a combined ratio of 107.8% in the second quarter of 2018. It was 101 % in the second quarter of 2017.
The CEO optimistic despite the poor results
“During the quarter, our financial results have also suffered losses related to severe weather events that have occurred across Canada. In particular, the wind storm that occurred in may in Ontario, ” says Rob Wesseling, president and chief executive officer of Co-operators.
He adds that ” in spite of everything, the situation of the capital of the company remains strong and the reorganization of The insurance Company CUMIS general simplifies our structure and operations. Despite the highly volatile market in which we operate, we remain strong thanks to the sustained growth in the number of customers and the increase in net premiums earned across all our sectors of activity. “
Moreover, on 28 June, the Co-operators has completed the acquisition of CUMIS General, which came into force on 1 April. CUMIS General was previously a subsidiary of a company under common control.