BMI View: The latest news confirms our view that premiums in Canada's sophisticated and competitiveinsurance market will continue to grow at single digit rates - in both major segments. September andOctober have seen two major mergers in the life segment. We think that the process of consolidation willalso continue in the non-life segment.
Canada provides a classic example of how premiums that are rising at low single-digit rates (in localcurrency terms), in a market where key metrics such as penetration (premiums as a percentage of GDP) areat quite low levels, do not provide the whole story. The latest news confirms our view that Canada'sinsurance sector is one of the strongest and most sophisticated of any that are monitored by BMI. In both ofthe major segments, the leading players are absolutely world class.