Canadian Property and casualty insurer, Definity Financial Corporation, has released an estimate of approximately $120 million in catastrophe losses that will impact its operating income negatively in July and August 2023.
This estimate is net of reinsurance recoveries and includes reinstatement premiums.
The company confirmed that the British Columbia wildfires were the single largest contributor. There have been at least ten events that reached the catastrophe loss threshold in these last two months.
Other notable events included severe wind and rainstorms leading to flooding in Ontario, Quebec, and Nova Scotia, and tornados in Ontario and Quebec.
The firm’s personal property business experienced the vast majority of the losses.
Rowan Saunders, Definity’s President and Chief Executive Officer, commented, “Severe storms and wildfires continue to impact communities across the country. Our claims team is working tirelessly to provide support for our customers and affected communities so they can recover as quickly as possible
“The ongoing elevated level of severe weather events underscores the importance of building a resilient organization capable of delivering on our purpose to help our clients and communities adapt and thrive.”
This assessment is based on information received to date from customers, as well as analysis of exposures.
The company has already stated that catastrophe losses for Q3 2023 will be materially above its original expectation, ahead of the full quarter update in October.