Indemnity National Insurance to open Canadian branch

Summary#

Indemnity National Insurance Company says it plans to apply to Canada’s federal insurance regulator to set up a Canadian branch. The company intends to file the application on or after October 30, 2023; the notice appeared in the Canada Gazette on October 14, 2023.

What it does#

• The company will apply under section 574 of the Insurance Companies Act for permission to insure risks in Canada.
• It plans to operate in English as Indemnity National Insurance Company and in French as Société d’assurance indemnité nationale.
• It intends to write property, casualty and surety insurance in Canada.
• The insurer’s main office is in Jackson, Mississippi (United States), and it says its Canadian chief agency will be in Toronto, Ontario.
• The application was signalled in a notice dated September 23, 2023, and was filed through its solicitors, Dentons Canada LLP.

Who's affected#

• Canadian businesses and individuals who buy property, casualty or surety insurance could see a new insurer offering coverage.
• Insurance brokers and agents may need to add a new carrier to their lists.
• The federal regulator, the Office of the Superintendent of Financial Institutions, is the body that will consider the application.
• It is unclear yet how large the company’s Canadian business will be or exactly which products and provinces will be served.

Why it matters#

• If approved, this could add competition and more options for property, casualty and surety insurance in Canada.
• New market entry can affect pricing, availability of specialized insurance (like surety bonds), and choices for businesses that need those products.
• This notice is about an intended application, not approval; the regulator must still decide whether to allow the company to insure risks in Canada.