Echelon–Orion merger and Quebec Assurance actions

Summary#

This notice covers two separate insurance-company actions published in the Canada Gazette.
First, Orion Travel Insurance Company plans to continue under the Insurance Companies Act (Canada) and then merge with Echelon Insurance to form one company, with an intended effective date of January 1, 2023. Second, Quebec Assurance Company plans to seek approval for an assumption reinsurance agreement with Intact Insurance Company and to apply for continuance under the Canada Business Corporations Act.

What it does#

• Continuance and amalgamation

  • Orion Travel Insurance Company will apply to continue under the Insurance Companies Act (Canada).
  • Then Echelon Insurance and Orion Travel Insurance Company will apply to amalgamate into one company named, in English, Echelon Insurance (French: Échelon Assurance).
  • The planned head office for the merged company is in Mississauga, Ontario.
  • The proposed effective date is January 1, 2023, or another date the letters patent may set.
  • People can object in writing to the Office of the Superintendent of Financial Institutions by October 3, 2022.

• Quebec Assurance Company actions

  • Quebec Assurance Company intends to ask the Superintendent for approval to be reinsured on an assumption basis by Intact Insurance Company, covering less than substantially all of its policy liabilities.
  • A copy of the proposed reinsurance agreement is available for inspection at QAC’s head office in Toronto for 30 days after the notice was published. Policyholders can request a copy in writing.
  • QAC also intends to apply to the Minister of Finance for approval to seek a certificate of continuance under the Canada Business Corporations Act.
  • The reinsurance application to the Superintendent is expected on or after September 20, 2022. The continuance-related application to the Minister is expected on or after September 5, 2022.
  • Objections about the proposed continuance may be sent to the Office of the Superintendent of Financial Institutions by email by September 12, 2022.
  • QAC’s board may withdraw the continuance application before it is acted on.

Who's affected#

• Policyholders of Orion Travel Insurance Company, Echelon Insurance, and Quebec Assurance Company — the most directly affected group.
• Insurance brokers and claims handlers who work with those insurers.
• Employees and management of the involved companies.
• The Office of the Superintendent of Financial Institutions and the Minister of Finance, who will review the applications.
• Members of the public who want to object or inspect the reinsurance agreement within the stated timeframes.

Why it matters#

• Mergers and continuances can change who manages policies, where claims are processed, and how customer service is handled. Policyholders may see operational or contact changes if the moves are approved.
• The Quebec Assurance reinsurance plan could shift who ultimately pays certain claims, which can affect policyholder protections and claims handling.
• These are proposals and require regulatory approval; publication of the notice does not mean the changes will happen. Objection and inspection rights are offered so affected people can review and respond before decisions are made.