GUELPH, ON, Nov. 9, 2026 /CNW/ -- Co-operators General Insurance Company (Co-operators General) today released consolidated financial results for the three months ended September 30, 2026. This quarterly earnings news release should be read in conjunction with our third quarter 2026 unaudited condensed consolidated interim financial statements and management's discussion and analysis (MD&A) as well as our 2025 Annual Report, all of which are available on SEDAR+ at www.sedarplus.com. Unless otherwise noted, all amounts are expressed in Canadian dollars.
HIGHLIGHTS
- Direct written premium (DWP) 1 growth of 1.9%, driven by average premium growth
- Combined ratio1,3 of 109.7%, reflecting significant major event activity and higher current accident year claims in all lines of business during the quarter
- Loss per share was $0.73, reflecting a net loss of $18.8 million, primarily driven by an underwriting loss during the quarter
- Our balance sheet, liquidity and capital positions remained strong at the end of the third quarter, enabling us to continue to meet the needs of our clients while also supporting our strategic areas of focus
EXECUTIVE MESSAGE
"Our third-quarter results reflect a challenging period, with significant weather events and higher claims activity putting pressure on our underwriting performance, alongside lower overall investment results," said Rob Wesseling, President and CEO of Co-operators. "While these pressures affected our financial performance this quarter, our capital position remains strong and we continue to focus on supporting our clients through difficult moments, managing our business with discipline and building greater resilience for the future."
FINANCIAL HIGHLIGHTS
3rd quarter | 3rd quarter | YTD | YTD | |||||
($ in millions except for EPS and ratios) | 2026 | 2025 | Change | 2026 | 2025 | Change | ||
Key financial data | ||||||||
Direct written premium (DWP)1 | 1,631.6 | 1,601.4 | 30.2 | 4,623.5 | 4,495.0 | 128.5 | ||
Net insurance revenue (NIR)1 | 1,450.8 | 1,411.9 | 38.9 | 4,258.8 | 4,060.0 | 198.8 | ||
Net income (loss) | (18.8) | 228.0 | (246.8) | 279.5 | 450.6 | (171.1) | ||
Net investment income and gains (losses) | 22.9 | 181.7 | (158.8) | 233.5 | 397.0 | (163.5) | ||
Total assets2 | 9,586.9 | 9,215.3 | 371.6 | 9,586.9 | 9,215.3 | 371.6 | ||
Shareholders' equity2 | 3,088.4 | 3,019.4 | 69.0 | 3,088.4 | 3,019.4 | 69.0 | ||
Key success indicators | ||||||||
DWP growth1 | 1.9 % | 5.7 % | n/a | 2.9 % | 8.3 % | n/a | ||
NIR growth1 | 2.8 % | 15.5 % | n/a | 4.9 % | 15.0 % | n/a | ||
Underwriting result1,3 | (139.9) | 141.4 | (281.3) | 16.6 | 183.4 | (166.8) | ||
Combined ratio1,3 | 109.7 % | 90.0 % | 19.7 | pts | 99.6 % | 95.5 % | 4.1 | pts |
Earnings (loss) per share (EPS) | ($0.73) | $8.35 | ($9.08) | $9.95 | $16.33 | ($6.38) | ||
Return on equity (ROE)1 | (2.4 %) | 32.3 % | (34.7) | pts | 12.4 % | 20.3 % | (7.9) | pts |
Minimum Capital Test (MCT)2 | 219 % | 224 % | (5.0) | pts | 219 % | 224 % | (5.0) | pts |
_____________________________________ |
1 Refer to Key Financial Measures (Non-GAAP) section in the MD&A |
2 Financial position data and MCT results for 2025 are as at December 31 |
3 Excluding discounting and risk adjustment |
THIRD QUARTER REVIEW
In the third quarter, DWP increased by 1.9% to $1,631.6 million compared to the same quarter of 2025. DWP grew across all lines of business except the commercial line of business, with the auto and home lines of business being the major contributors. DWP for the home and auto lines of business grew by 5.4% and 0.7%, respectively, mainly driven by higher average premiums.
Co-operators General's underwriting result, excluding discounting and risk adjustment, for the third quarter of 2026 was a loss of $139.9 million, an unfavourable change of $281.3 million from the underwriting income of $141.4 million in the same quarter of 2025. The unfavourable performance was primarily due to increased current accident year claims, higher major event activity and higher unfavourable prior year claims development. The above resulted in 19.7 percentage points deterioration in the combined ratio, excluding discounting and risk adjustment, when compared with the quarter in the prior year.
Net investment income and gains for the third quarter of 2026 were $22.9 million, a decrease of $158.8 million compared to the same quarter of prior year. The decrease was primarily driven by losses in the bond portfolio in comparison to gains in the prior year period and by lower gains on common shares. The unfavourable results were partially offset by higher investment income, reflecting the reinvestment of cash in higher-yielding, longer duration assets.
Our investment portfolio is comprised of high quality and well diversified assets. The credit quality of our bond portfolio remains high, with 82.1% rated A or higher, and with 96.5% of our bonds being considered investment grade, rated BBB or higher. Our equity portfolio is 80.6% weighted to Canadian stocks.
CAPITAL
Our balance sheet, liquidity and capital position remain strong and well in excess of our capital targets. We maintained a solid shareholders' equity position, supported by year-to-date net income of $279.5 million, while continuing to return capital to shareholders through dividends of $189.1 million.
Co-operators General's MCT was 219% as at September 30, 2026, which is well above internal and regulatory minimum requirements. We continue to closely monitor capital levels in response to the changing economic environment.
CAUTION REGARDING FORWARD-LOOKING STATEMENTS
This document may contain forward-looking statements and forward-looking information, including statements regarding the operations, objectives, strategies, financial situation and performance of Co-operators General. These statements generally can be identified by the use of forward-looking words such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "plan," "would," "should," "could," "trend," "predict," "likely," "potential," and "continue," or the negative thereof and similar variations. These statements are not guarantees of future performance, and they involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in the forward-looking statements or information. We believe that the expectations reflected in the forward-looking statements and information are reasonable; however, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, levels of activity, performance or achievements. Consequently, we make no representation that actual results achieved will be the same in whole or in part as those set out in the forward-looking statements and information. For further information, refer to our third quarter 2026 MD&A or our 2025 Annual Report.
ABOUT US
Proudly Canadian since 1945, Co-operators is a leading financial services cooperative offering multi-line insurance and investment solutions, as well as personalized services and advice to help Canadians build and maintain their financial security. With over $89 billion in assets under administration, Co-operators is renowned for its community involvement and efforts to create a more sustainable future. As a carbon-neutral organization, Co-operators is committed to achieving net-zero emissions in its operations and investments by 2040 and 2050, respectively.
Co-operators is recognized as one of Canada's Top 100 Employers and is ranked among the country's Best 50 Corporate Citizens by Corporate Knights.
Co-operators General Class E Preference Shares Series C, trade under ticker symbol CCS.PR.C on the Toronto Stock Exchange (TSX).
For more information, please visit: www.cooperators.ca.
CONTACT INFORMATION
Investor Relations
Peter Shaker
Vice-President, Corporate Development and Capital Management
Email: [email protected]
Media Relations
Email: [email protected]
SOURCE The Co-operators Group Limited
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