The group saw gross written premium (GWP) growth of 82.6% in the quarter, which was supported by continued momentum in its US fronting business, as well as significant growth in Canada, where the GWP increased by 73.7% in the three months ending March 31.
In Canada, Trisura reported strong underwriting performance across all lines, with a loss ratio of 13.3% for the quarter, contributing to a 65.3% combined ratio and a 27.4% return on equity (ROE).
“Trisura’ s momentum continued in the first quarter of 2021, with net income of CA$19.3 million, an increase of 130.8% over the prior year,” said David Clare, president and CEO of Trisura. “Strong underwriting performance and premium growth, supported by investment gains, contributed to a 16.1% return on equity, meeting our mid-teens target ahead of plan.
“Premium growth was significant, increasing 82.6% over the prior year, while disciplined underwriting in Canada contributed to an industry-leading 65.3% combined ratio. Our US business sustained its trajectory of growth, binding a new record CA$224.7 million of gross premiums, and generating CA$6.4 million in net income. Reinsurance contributed to earnings through appropriate asset liability matching.
“Our balance sheet is well-funded to support future growth, with flexibility afforded by our 8.0% debt-to-capital ratio and a newly achieved investment grade rating.”