Now the company has reported solid results for 2015 despite what Rene Rouleau, the chairman and CEO of La Capitale Civil Service Mutual, described as a difficult year.
“Thanks to its achievements in the past year, the Mutual is, once again, pleased to report positive results,” he said at the Annual General Assembly in Quebec City. “Our performance in 2015 attests to the merits of diversifying our activities, which is one of the intrinsic strengths of our organization. By being active in a number of markets, including certain niche markets, La Capitale is better able to spread out risks in the event of unexpected situations or tough economic times.”
2015 was marked by an environment of strong market volatility, persistence of low interest rates and unfavourable group health and disability experience. La Capitale was nevertheless able to post consolidated net income of $55.4 million, which represents a 6.4 per cent return on equity. Total equity reached $895 million.
In 2015, a total amount of $12.6 million was paid in dividends to policyholders, up slightly from the previous year. La Capitale's total consolidated revenue, which is derived from premiums, investment income and other factors, hit $2 billion. Meanwhile, its consolidated assets rose to $5.8 billion, representing a 5.7 per cent increase.
“Although it had its share of challenges in 2015, the Life and Health Insurance and Financial Services sector continued to hold its own in a highly competitive market,” said Steven Ross, president and COO of La Capitale’s life and health insurance sector. “Our desire to remain among the key players in the industry and strengthen our market position is stronger than ever.”
Sixty five per cent premium growth in the last five years – that is the figure that has helped La Capitale Insurance and Financial Group be Canada’s fastest rising life and health insurer over the last five years.