Endurance Specialty Insurance to Open Canadian Branch

Summary#

Endurance Specialty Insurance Ltd., an insurer incorporated in Bermuda, says it will apply to the Superintendent of Financial Institutions to open a Canadian branch and sell several types of insurance in Canada. The company plans to file the application on or after March 17, 2024; the notice was dated February 17, 2024.

What it does#

• The company intends to file an application under the Insurance Companies Act asking for permission to insure risks in Canada.
• If approved, the branch would offer coverage in these classes:
  • property, liability, boiler and machinery, fidelity, automobile, marine, surety, and aircraft.
• The insurer’s head office is in Hamilton, Bermuda, and its planned Canadian chief agency would be in Toronto, Ontario.
• The notice says the insurer’s ultimate parent is Sompo Holdings, Inc. (incorporated in Japan).

Who's affected#

• Businesses and individuals who buy or broker insurance in the listed classes could notice a new supplier of coverage.
• Insurance brokers and agents who place business in those lines.
• Competing insurers and the overall commercial insurance market, especially for larger or specialized risks.
• It’s not clear from the notice which exact customer segments (e.g., personal vs. commercial) the company will target.

Why it matters#

• A new branch could mean more capacity and more options for people and companies seeking the listed types of insurance in Canada.
• For buyers of specialized or large policies (marine, aircraft, surety, boiler and machinery), another entrant can affect availability and pricing.
• The application is only being filed; approval is not guaranteed. The timing and final impact depend on the regulator’s decision.