Quote:
Originally Posted by macker
Not the P&C insurers in Canada.....Take for example the largest P&C insurer in Canada's latest earnings.....they lost 36.3 million.... http://www.newswire.ca/en/releases/a.../13/c2325.html
The perception is that they are making billions but the reality is that they are losing millions.... |
This is where the games the insurers are playing become evident though; the combined ratio for a lot of these companies is still below 100%. In other words they are taking in more than it costs them to pay claims and adjudicate them.
Plus, if they are losing too much money due to one time market events (or at the very least inconsistent market events) then should we expect a huge rate decrease when the bull market gets roaring again?