TORONTO — Intact Financial Corp. (TSX: IFC) says it saw net income rise in the last quarter on lower catastrophe losses but that auto damage claims were higher than expected.
The Toronto-based insurer says it had net income of $171 million or $1.25 per share in the third quarter, up from $125 million or $0.91 per share in the same quarter last year.
The company says it had an underwriting loss of $50 million in its auto division and expects meaningful rate increases in all markets for the segment because of claims cost inflation.
Intact's personal property and commercial lines performed better, but expects continued firm market conditions in personal lines as companies adjust to changing weather patterns.
The company also completed its $2.3 billion acquisition of insurer OneBeacon in the quarter on Sept. 28, but it said the deal had little impact on earnings in the quarter.
OneBeacon is a specialty lines insurer focused on small- to medium-sized enterprises, where Intact says there are early upward trends in growth.
The Canadian Press