CO-OPERATOR’S INCOME BOOSTED BY DECLINE IN WEATHER CLAIMS

Canadian multi-line insurer Co-operators General Insurance saw its second-quarter net earnings more than quintuple to C$184.9m from C$47.9m, as a C$143.7m decline in net claims and adjustment expenses led to a 23-point reduction in the loss ratio. The combined ratio improved by 22.2 points to 81.8%, reflecting a swing to C$170.6m of underwriting income from a year-earlier loss of C$33.6m. The comparable period of 2020 included losses from catastrophic events in Alberta and outlays for reduced driving amid lockdowns for the Covid-19 pandemic. The improved underwriting results offset a 40% reduction in investment income and gains (to C$80.4m). Quarterly direct written premiums grew 10.9% to C$1.13bn. For the first six months of the year, the Ontario-based group swung to net income of C$382.6m from a loss of C$1.0m, as underwriting income jumped to C$335.4m from C$16.1m and investment income and gains rose to C$144.8m from C$34.8m. The six-month combined ratio improved by 17.2 points to 81.8%, while direct written premiums grew 6.6% to C$1.97bn.