The enlarged mutual insurance company formed by the merger of La Capitale Insurance and Financial Services and SSQ Insurance will have nearly 4,700 employees and will remain headquartered in Quebec City
La Capitale Insurance and Financial Services and SSQ Insurance have completed their previously announced merger aimed at forming the biggest mutual insurer in Canada with more than 3.5 million members and clients.
Financial terms of the merger deal, which was announced in January 2020, were not disclosed. The transaction was closed following receipt of the required regulatory approvals among other things.
Established in 1940, La Capitale Insurance and Financial Services is said to have a strong footprint in Quebec and across Canada. The company has been providing insurance products and financial services to the general public and also to Quebec public service employees.
On the other hand, SSQ Insurance is a mutual diversified financial institution, which was established in 1944 in Quebec. The company has been offering insurance and investment products.
The two Canadian insurers said that the name of the new company that combines their operations will be revealed in the fall and integration will be done gradually.
As of now, the merger between the companies will have no change for members, clients, and business partners, while all agreements are being maintained.
The enlarged mutual insurance company will have nearly 4,700 employees and will remain headquartered in Quebec City. Its assets under management are said to be over CAD20bn ($14.78bn), and premiums stand at CAD5bn ($3.69bn).
La Capitale Insurance and Financial Services said that the new company is now the first group insurer in Quebec and fourth in the country. Apart from that, it is the fourth largest personal insurer in Quebec and the sixth-largest in Canada.
Furthermore, the new mutual insurance company is said to ranks third in Quebec for general insurance and 13th in Canada.
La Capitale/SSQ Insurance CEO comments on the completion of the merger
La Capitale/SSQ Insurance president and CEO Jean-François Chalifoux said: “We are very proud to make this merger of equals official today. Our new company has given itself the means to grow and make its mark in a fast-changing industry. We are now a major player across the country.”