QUÉBEC CITY, Dec. 21, 2012 /CNW Telbec/ - Following amendments to the
capital formula recently announced by Canadian insurance regulators in
relation to the calculation of required capital for the lapse risk
component, Industrial Alliance Insurance and Financial Services Inc.
(the "Company") estimates that its solvency ratio will increase by
12 percentage points. The amended capital requirements take effect on
January 1, 2013 and will be reflected in the Company's first quarter
The following table reflects the capital relief for the lapse risk
component at September 30, 2012 on a proforma basis, as well as the
increase in the solvency ratio since the end of 2011.
At September 30, 2012
At December 31, 2011
This press release may contain statements relating to strategies used by
Industrial Alliance or statements that are predictive in nature, that
depend upon or refer to future events or conditions, or that include
words such as "may", "will", "could", "should", "would", "suspect",
"expect", "anticipate", "intend", "plan", "believe", "estimate", and
"continue" (or the negative thereof), as well as words such as
"objective" or "goal" or other similar words or expressions. Such
statements constitute forward-looking statements within the meaning of
securities laws. Forward-looking statements include, but are not
limited to, information concerning the Company's possible or assumed
future operating results. These statements are not historical facts;
they represent only the Company's expectations, estimates and
projections regarding future events.
Although Industrial Alliance believes that the expectations reflected in
such forward-looking statements are reasonable, such statements involve
risks and uncertainties, and undue reliance should not be placed on
such statements. Certain material factors or assumptions are applied in
making forward-looking statements, and actual results may differ
materially from those expressed or implied in such statements. Factors
that could cause actual results to differ materially from expectations
include, but are not limited to: general business and economic
conditions; level of competition and consolidation; changes in laws and
regulations including tax laws; liquidity of Industrial Alliance
including the availability of financing to meet existing financial
commitments on their expected maturity dates when required; accuracy of
information received from counterparties and the ability of
counterparties to meet their obligations; accuracy of accounting
policies and actuarial methods used by Industrial Alliance; insurance
risks including mortality, morbidity, longevity and policyholder
behaviour including the occurrence of natural or man-made disasters,
pandemic diseases and acts of terrorism.
Additional information about the material factors that could cause
actual results to differ materially from expectations and about
material factors or assumptions applied in making forward-looking
statements may be found in the "Risk Management" section of the 2011
Management's Discussion and Analysis and in the "Management of Risks
Associated with Financial Instruments" note to Industrial Alliance's
consolidated financial statements, and elsewhere in Industrial
Alliance's filings with Canadian securities regulators, which are
available for review at www.sedar.com.
The forward-looking statements in this news release reflect the
Company's expectations as of the date of this document. Industrial
Alliance does not undertake to update or release any revisions to these
forward-looking statements to reflect events or circumstances after the
date of this document or to reflect the occurrence of unanticipated
events, except as required by law.
About Industrial Alliance
Founded in 1892, Industrial Alliance Insurance and Financial Services
Inc. is a life and health insurance company with operations in all
regions of Canada as well as in the United States. The Company offers a
wide range of life and health insurance products, savings and
retirement plans, RRSPs, mutual and segregated funds, securities, auto
and home insurance, mortgage loans and other financial products and
services for both individuals and groups. The fourth largest life and
health insurance company in Canada, Industrial Alliance contributes to
the financial wellbeing of over three million Canadians, employs 4,200
people and manages and administers more than $80 billion in assets.
Industrial Alliance stock is listed on the Toronto Stock Exchange under
the ticker symbol IAG.
SOURCE: INDUSTRIAL ALLIANCE INSURANCE AND FINANCIAL SERVICES INC.
For further information:
Office: 418 780-5945