PACICC to Incorporate PACICC‑SIMA; Insurers File Notices

Summary#

The Canada Gazette published notices from several insurers and the insurance compensation body about planned administrative steps under the Insurance Companies Act (Canada). The items say one new insurer would be incorporated, two firms plan to apply to release assets held in Canada, and three companies plan to amalgamate; deadlines to object are listed.

What it does#

• Property and Casualty Insurance Compensation Corporation (PACICC) intends to apply for letters patent to incorporate a property and casualty insurer called PACICC‑SIMA General Insurance Company / Compagnie d’Assurance Générale PACICC‑SIMA, with a head office in Toronto. The notice says the new company would not carry on business unless the PACICC Board decides special circumstances require it. Objections may be filed with OSFI by October 22, 2024.
• Validus Reinsurance, Ltd. plans to apply to the Office of the Superintendent of Financial Institutions (OSFI) on or after October 7, 2024 for an order authorizing the release of the assets it keeps in Canada. Policyholders or creditors can oppose that release by October 7, 2024.
• Western Assurance Company, Intact Insurance Company and 13130126 Canada Inc. intend to apply jointly on or after September 9, 2024 for letters patent to amalgamate and continue as one company named Intact Insurance Company (English) / Intact Compagnie d’assurance (French), with a proposed effective date of January 1, 2025. An independent actuary’s report will be available to policyholders on request.
• Westport Insurance Corporation plans to apply to OSFI on or after September 30, 2024 for an order authorizing the release of assets it maintains in Canada. Oppositions are invited by September 30, 2024.

Note: each notice says publication is not proof the requested approvals will be granted. Decisions depend on the relevant application reviews.

Who's affected#

• Policyholders and creditors of PACICC-SIMA General Insurance Company (if and when it operates), Validus Reinsurance, Ltd., Western Assurance Company, Intact Insurance Company, 13130126 Canada Inc., and Westport Insurance Corporation.
• The Office of the Superintendent of Financial Institutions (OSFI) and the Minister of Finance, because they receive applications and objections.
• It is unclear from the notices whether other parties (broader public, brokers, or regulators beyond OSFI/Minister) will be directly affected.

Why it matters#

• If you are a policyholder or creditor of any of the named companies, these steps could affect how claims are handled or how assets that back policies are managed.
• The amalgamation could change which legal entity issues or manages existing policies as of the proposed effective date (January 1, 2025).
• The asset‑release applications may change where assets held in Canada are located or how they are used, which could affect recoveries for creditors or policy payments. The notices do not spell out final effects and approvals are not guaranteed.
• Deadlines to object to these steps are time‑limited (see the dates above); interested parties must contact OSFI if they want to submit an objection.