Canada Life Reinsurance, specializing in life and health reinsurance, achieved earnings of $210 mn in earnings in Q3 2024, following 14% base earnings growth in H1 2024, representing 20% of Canada Life Assurance Company’s total earnings for the period.
Our Q3 results highlight strong earnings across all divisions, reflecting the benefits of diversification. This marks our fifth consecutive quarter of record base earnings. We exceeded our revenue targets and are positioned for a strong finish to Q4.
Jeff Poulin, CEO of Canada Life Re
Canada Life Assurance Company reported record base earnings of $1.06 bn for the quarter, a 12% increase compared to $950 mn in Q3 2023.
Additional contributions came from the inclusion of Investment Planning Counsel (IPC) and Value Partners, improved investment income, and favorable results in the U.S. life reinsurance segment.
I thank our clients for their partnership. We are building momentum across all business lines, driven by our dedicated teams and our motto: One Team, Unlimited Solutions
Jeff Poulin, CEO of Canada Life Re
Group-wide, Canada Life’s net earnings from continuing operations decreased from $936 mn in Q3 2023 to $859 mn in Q3 2024. The decline was attributed to less favorable interest rate impacts, including spread movements, and more unfavorable fair value impacts from assumption changes and management actions, partially offset by higher base earnings.
Canada Life Re has entered into a long-term coinsurance agreement with Dai-ichi Life, covering ¥125 bn ($1.4 bn) in in-force liabilities on a portfolio of whole life insurance policies. The agreement transfers responsibility for all future death and surrender claims on the reinsured business to Canada Life Reinsurance.
Gareth Dobson, head of Canada Life’s Barbados Branch, stated: “This marks a significant milestone as our first reinsurance transaction with Dai-ichi Life and our entry into the Japanese market. It highlights our ability to extend reinsurance solutions to new clients and regions as we expand beyond Europe and the U.S. I commend the collaboration between our team, Dai-ichi Life, and Willis Re, and look forward to strengthening these partnerships.”
