Below is a message from Martin Thompson, president and CEO of RSA Canada, regarding the company's 2017 financial performance.
RSA Group has announced its 2017 full-year results. I would like to share some key highlights with you.
Globally, RSA reported a strong financial year with fundamental improvements within its business. RSA is well-positioned to make continued progress.
For further information, see RSA Group's release.
Canadian result highlights
In Canada, we delivered another set of positive results that saw growth across all divisions of our business in the face of challenging external pressures, primarily significant weather events and large losses beyond our expected averages.
Financially, we delivered solid underwriting results with an underwriting profit of $163m which includes a $97m loss for weather-related claims. It was another volatile year for the industry in terms of extreme weather. A strong focus on cost management and growth have enabled us to build a resilient business in the face of external pressures. Our Combined Operating Ratio (COR) of 93.9% improved by 1% compared to 2016.
Further results highlights:
- Net Written Premiums (NWP) increased by 5% to $2,707m.
- Personal Broker NWP was at $815m with a 9% growth vs prior year. Personal Broker delivered a breakeven result and a COR of 100%.
- Commercial Lines reported a NWP of $834m with a 4% growth vs prior year. Commercial delivered an underwriting profit of $38m and a COR of 95.4%.
Focus on customer-centricity
Last year, we were laser-focused on working with you to improve the overall broker and customer experience and reducing costs to reinvest into the broker channel. I’m very encouraged by the way we are embedding this strategy in our business.
Delivering an exceptional broker and customer experience and investing in the broker channel
Last year, we set a clear ambition for ourselves to deliver an exceptional experience for the end customer. We focused our efforts in some key areas: sharpening our pricing, improving our customer service and enhancing our digital capability.
Through pricing sophistication, we grew in all our target segments while overall our new business premium grew by 52% year over year.
To truly understand how our customers and brokers want to do business with us, we undertook an extensive Customer Journey Mapping exercise for our personal lines customers, which is helping us prioritize the changes we need to make to deliver a better customer experience.
In claims, the implementation of our Guidewire system gives us the foundation to improve the customer experience by speeding up processing time which translates to faster settlements for our customers.
To enhance our digital capabilities, the Commercial team launched the RSA Pro™ tool for SME brokers, which reduces quoting time from hours to minutes, allowing them to focus their time on the individual needs of SME clients.
Today, RSA remains committed to investing in and supporting the broker channel. More so than ever before, this means working together to evolve and adapt to the rapidly changing landscape, including the development of connectivity solutions.
I’d like to personally thank you for another successful year of partnership in 2017. I’m very optimistic about the exciting opportunities ahead of us to drive our mutual success.
President and CEO