Intact & Western Amalgamation; Westport Asset Release

Summary#

This Gazette item contains two insurance-company notices. First, Western Assurance Company, Intact Insurance Company and 13130126 Canada Inc. plan to apply to merge into a single company called Intact Insurance Company, with the application to be made on or after September 9, 2024 and a proposed effective date of January 1, 2025. Second, Westport Insurance Corporation intends to ask the federal regulator for permission to release the assets it holds in Canada, with a public opposition deadline of September 30, 2024.

What it does#

• Amalgamation notice

  • The three companies will jointly apply to the Minister of Finance for letters patent to combine into one company named Intact Insurance Company (French name: Intact Compagnie d’assurance).
  • The head office of the merged company would be in Toronto, Ontario.
  • The application process is under the Insurance Companies Act, and the companies plan to apply on or after September 9, 2024. The proposed effective date is January 1, 2025, or another date set in the letters patent.
  • A report from an independent actuary will be made available to policyholders of Intact Insurance Company and Western Assurance Company on request (contact details were provided in the notice).
  • The notice explicitly says publishing it does not mean the letters patent will be granted; the regulator and Minister will review the application.

• Asset-release notice

  • Westport Insurance Corporation intends to apply to the Office of the Superintendent of Financial Institutions (Canada) for an order to release the assets it maintains in Canada, under the Insurance Companies Act.
  • Any policyholder or creditor who opposes that release can send an objection by mail or email to the regulator by September 30, 2024 (address and email were given in the notice).

Who's affected#

• Policyholders of Intact Insurance Company and Western Assurance Company — they can request and inspect the independent actuary’s report and may see administrative changes if the merger is approved.
• Policyholders and creditors of Westport Insurance Corporation in Canada — they may be directly affected if Westport is allowed to release its Canadian assets and can file an opposition by September 30, 2024.
• Insurance brokers, claims handlers, and others who work with these companies may notice changes in how policies are managed if the merger or asset release goes ahead.
• Broader public or customers of other companies are unlikely to be affected directly, based on the notice.

Why it matters#

• A merger can change who manages your policy, where to send claims, and which legal entity is responsible for paying claims — even if the coverage terms stay the same. Policyholders have a right to see the actuary’s report and to watch for official approvals.
• If Westport Insurance Corporation is allowed to release its Canadian assets, that could reduce the resources available in Canada to pay claims or meet creditor claims. Affected people have a short window (by September 30, 2024) to file objections with the regulator.
• Neither notice is a final decision. Both actions still need regulatory approval, so the publication is a heads-up rather than a completed change.