Profits in the Québec automobile insurance industry increased in 2009

Insurance Organization

Montréal – The Autorité des marchés financiers (AMF) has released the 2009 report on automobile insurance rates, tabled today in the Québec National Assembly. The report highlights the developments and trends in Québec’s automobile insurance industry for 2009. It is intended for both the general public and professionals in the industry, which is a large segment of Québec’s insurance activities.

2009 was a good year for automobile insurance

The AMF reports that the automobile insurance industry is again in a healthy position this year. Insurance companies posted significant profits—15.4% of premiums written—thus continuing the positive trend observed over the past nine years.

Automobile insurance products in Québec are still abundant and diversified. The underwriting capacity of insurers operating in Québec also seems more than sufficient to meet consumer demand. Several factors indicate that this market is still competitive, including the downward movement in rates and the more robust presence of insurers in all sectors of automobile insurance. Québec-chartered insurers still dominate the Québec market, with 62% of the $3.057 billion of automobile insurance premiums written in 2009.

Situation favours consumers

This situation benefits consumers. The AMF encourages consumers to act in their best interests and not to hesitate to ask for bids from different insurers and brokers in order to be in a better position to compare the proposed prices and services offered. In addition, by comparing insurance premiums and asking for additional information about the applicable terms and the services offered, consumers help maintain healthy competition in the insurance industry.

For more information about automobile insurance in Québec, please consult the report (in French only) on the AMF website, under the heading Publications/Documents regarding the AMF/AMF annual reports.

The Autorité des marchés financiers (AMF) is the regulatory and oversight body for Québec's financial sector.

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