(February 22 – 17:30 ET) – SSQ Life Insurance Company Inc. posted solid results in 2000, despite a strong increase in the use of prescription drugs, which also affected the entire group insurance industry. The company recorded a net income of $12.1 million, procuring an 11.5% return on shareholders’ equity at the beginning of the year.

Income grew substantially; the insurance sector saw underwritten premiums reach $501.5 million, a rise of 19% compared to 1999. Premium income in the investment and retirement sector grew 20.4% to reach $113.5 million. To deal with a sharp increase in benefits, especially in drug insurance, the kept a tight reign on general expenses. At $51.1 million, they rose only1.6% over 1999.

Similarly, assets under management increased by 3.2% to $1.61 billion, despite bearish stock markets in the last quarter. The company also put its mortgage loan portfolio on healthier footing, freeing up close to $5 million in reserves that had been maintained until now in loans considered questionable.

“We recorded excellent results again this year, despite the unusual context that prevailed in terms of drug insurance, affecting us just as it did other industry players,” said Pierre Genest, president and CEO.
-IE Staff