(March 1 – 16:15 ET) – Co-operators General Insurance Co. is reporting improved results for the fourth quarter ended Dec. 31, 2000. Consolidated after-tax net income rose to $17.3 million, compared to the $8.4 million earned during the same period in 1999.

Gross written premium in the fourth quarter was $352 million, similar to the $350 million recorded during the fourth quarter of 1999. The claims ratio for the quarter was 68%, compared to 68.3% during the same period last year.

The combined ratio of claims and operating expenses was 101.8%, compared to 105.3% for the fourth quarter of 1999. Operating expenses during the last quarter of 1999 included an unusual restructuring charge of $24.1 million. These expenses comprised enhanced retirement packages, employee severance allowances and the cost of closing several offices in the during 2000 and 2001.

For the year ended, gross written premium of $1,483 million marked an increase over last year of 8.2%. After-tax income for 2000 was $31.7 million, compared to $31.6 million for the year ended December 31, 1999. Investment income at $157.4 million was an increase over the $140.3 million in 1999.

Earnings per common share were 71¢ for the fourth quarter, compared to 27¢ for the same period last year. Year-to-date earnings per common share were $1.13, similar to the $1.14 reported for the twelve-month period ended December 31, 1999.

“The year 2000 was a difficult year for the property and casualty insurance industry,” said Terry Squire, The Co-operators president and CEO. He added, “In spite of that, Co-operators General continued to perform as a leader in the Canadian insurance market.”
-IE Staff