Intact’s net income falls, underwriting income rises in Q3

Intact Financial Corp. has reported a third quarter net income of $96 million, down from $101 million in the same period last year.

Net income for the first nine months ended Sept. 30 was $406 million compared to $381 million for the first nine months of 2011. The company’s net operating income this quarter rose to $122 million, from $111 million in Q3 2011.

Direct premiums written also rose to $1.8 billion from $1.2 billion in the third quarter of 2011, “reflecting the continued retention of the AXA Canada business and the inclusion of one month of JEVCO,” according to Intact, referring to its recent acquisitions.  

Underwriting income in Q3 increased by $2 million to $67 million compared to the same quarter last year. The company’s combined ratio for the quarter was 95.9%. 

“Our operating results remained sound this past summer, despite the significant  financial impact of helping our customers recover from severe hail, wind and rain storms in Alberta, Ontario and Quebec,” Charles Brindamour, the company’s CEO noted in a statement.

“As the prevalence of severe weather events puts pressure on the operating performance of our home insurance business, we remain committed to ensure its profitability and sustainability.”