Market Overview
| Study Period | 2019 - 2030 |
|---|---|
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 95.76 Billion |
| Market Size (2030) | USD 126.49 Billion |
| Growth Rate (2025 - 2030) | 5.73% CAGR |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order Image © Mordor Intelligence. Reuse requires attribution under CC BY 4.0. |
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Canada Property And Casualty Insurance Market Analysis by Mordor Intelligence
The Canada property and casualty insurance market reached USD 95.76 billion in 2025 and is forecast to expand to USD 126.49 billion by 2030, reflecting a 5.73% CAGR. Growing insured losses from extreme weather, escalating auto-repair costs, and digital distribution innovation underpin this steady climb. Rising catastrophe-related payouts motivate disciplined underwriting, while embedded insurance, usage-based programs, and AI-driven claim automation open fresh premium pools. Regulatory revisions such as OSFI’s 2025 reinsurance guidance and the IFRS 17 capital framework sharpen risk selection. Consolidation accelerates as mid-tier carriers scale to compete with Intact Financial Corporation’s multi-brand leadership. Together, these elements strengthen the Canada property and casualty insurance market against macroeconomic headwinds.
Key Report Takeaways
- By line of business, auto insurance led with 37.4% revenue share in 2024; specialty lines are projected to grow at 14.35% CAGR to 2030.
- By distribution channel, brokers and independent agents held 55.7% of the Canada property and casualty insurance market share in 2024, while embedded partnerships are forecast to advance at 18.36% CAGR through 2030.
- By end-user industry, large corporations accounted for 45.3% share of the Canada property and casualty insurance market size in 2024; the public sector and non-profit segment is expected to rise at 9.45% CAGR by 2030.
- By region, Ontario captured 35.6% of premium volume in 2024, whereas Alberta shows the fastest provincial CAGR at 6.29% between 2025-2030.
Canada Property And Casualty Insurance Market Trends and Insights
Drivers Impact Analysis
| Driver | ( ~ ) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Rising climate-related catastrophes | +2.1% | Alberta, British Columbia | Long term (≥ 4 years) |
| Surging auto repair costs and theft | +1.8% | Ontario, Alberta | Medium term (2-4 years) |
| Commercial-lines hard market | +1.2% | Major urban centers | Medium term (2-4 years) |
| Embedded insurance ecosystems | +0.9% | Ontario, Quebec | Long term (≥ 4 years) |
| Open-banking data for usage-based cover | +0.7% | Nationwide metros | Long term (≥ 4 years) |
| AI-driven claims automation | +0.6% | National | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
Increasing frequency & severity of climate-driven catastrophes
Canada logged USD 6.29 billion in insured losses in 2024, triple the 2023 level and the highest on record[1]Insurance Bureau of Canada, “Severe Weather Insurance Losses in Canada,” ibc.ca. Wildfires, floods, and hailstorms have raised personal property claims by 115% since 2019, and reinsurers are reassessing aggregate capacity for wildfire-exposed regions. British Columbia and Alberta face the greatest exposure, prompting price firming and tighter underwriting. The Insurance Bureau of Canada warns that continued loss severity may push some zones toward coverage scarcity, mirroring the insurance retrenchment seen in California. These pressures intensify capital requirements and support premium growth within the Canadian property and casualty insurance market.
Escalating auto-repair costs & theft boosting premiums
Vehicle repair expenses climbed 22.3% between December 2019 and December 2024, while used vehicle prices jumped 82.2% over the same period[2]Statistics Canada, “Consumer Price Index: Automobile-Related Components,” statcan.gc.ca. Ontario’s comprehensive claims ratio peaked at 190% in 2023, fueled by theft rings and severe weather. Average personal auto premiums rose 9.6% year-over-year by mid-2024, and the Q3 2024 claims ratio sat at 90.4%, signaling shrinking underwriting margins. These dynamics underpin pricing discipline and sustain premium inflows, reinforcing the Canadian property and casualty insurance market growth outlook.
Commercial-lines hard market amid inflation & liability claims
Social inflation and nuclear verdicts exceeding USD 10 million inflate casualty reserves, with litigation costs adding 7 percentage points to liability claim growth in 2024[3]Swiss Re, “Social Inflation in North America,” swissre.com. High-severity commercial auto and umbrella claims spur selective underwriting and higher deductibles. Carriers concentrate on portfolio balance as inflation drives property valuations upward. These conditions preserve the firming rate environment and attract new capacity to cyber, marine, and parametric covers, enhancing segment diversification within the Canada property and casualty insurance market.
Embedded insurance partnerships with fintech/e-commerce
Canada Life partnered with CapIntel, leading to a 75% adoption rate of interactive proposal tools among advisors. It underscores the trend of embedding protection products within financial services at critical moments. Meanwhile, iA Financial Group's "Symbiosis" platform integrates group insurance with retirement savings, making it more appealing to mid-sized employers. Such collaborations simplify distribution, reduce acquisition costs, and also tailor offerings, allowing the Canadian property and casualty insurance market to tap into previously untouched demographic segments.
Restraints Impact Analysis
| Restraint | ( ~ ) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Provincial rate caps / public auto programs | -1.4% | Alberta, Quebec | Medium term (2-4 years) |
| Rising reinsurance costs post-NatCat | -1.1% | Cat-exposed regions | Short term (≤ 2 years) |
| Litigation social-inflation pressures | -0.8% | Urban centers | Long term (≥ 4 years) |
| IFRS 17 capital strain on small carriers | -0.5% | Nationwide | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
Provincial rate caps/government monopolies in auto lines
In 2024, Alberta re-imposed a 3.7% cap on personal auto premiums, restricting the pricing flexibility of insurers. This regulatory measure has prompted several carriers to scale back on new business, resulting in a tighter supply of insurance products. Additionally, it has increased reserving risks for insurers, particularly when the caps are eventually lifted, as they may face challenges in adjusting to market dynamics. Meanwhile, Quebec's unique system, which combines public bodily injury coverage with private property damage, introduces significant administrative complexities. These complexities hinder insurers' ability to implement precise, risk-based pricing models, thereby affecting operational efficiency. Such regulatory interventions are suppressing top-line growth in Canada's property and casualty insurance market. This trend is expected to persist until the industry is allowed to resume actuarially sound rate filings, enabling insurers to better align pricing with underlying risks.
Rising reinsurance costs after record NatCat losses
OSFI’s 2025 guidance requires carriers to align gross underwriting limits with risk appetite and hold capital for maximum losses. Reinsurers, bruised by USD 5.62 billion of 2024 catastrophe claims, trimmed capacity, lifting cession costs. Higher retrocession pricing shrinks margins and motivates retention optimization, tempering headline premium growth in the short term across the Canada property and casualty insurance market.
Segment Analysis
By Line of Business: Auto Insurance Dominates Amid Specialty Lines Surge
Auto insurance generated 37.4% of total premiums in 2024, underpinning the Canadian property and casualty insurance market size, while mandatory cover and vehicle inflation sustain volume. Comprehensive theft losses and evolving provincial reforms should prolong pricing firmness through 2027. Personal property ranks second, with wildfire-related claims raising deductibles and spurring demand for resilience upgrades. Commercial property lines confront supply-chain inflation that elevates replacement-cost valuations.
Liability classes wrestle with social inflation, prompting carriers to impose higher self-insured retentions. Specialty lines, notably cyber and marine, will expand at a 14.35% CAGR to 2030, supported by digital-economy exposure and Canada’s vast coastline. Cyber premiums soared from USD 13.3 million in 2015 to USD 407 million in 2023, yet a 153% combined ratio signals margin pressure that encourages tighter underwriting. As specialty uptake rises, the Canada property and casualty insurance market share held by core auto lines may gradually dilute, though cross-selling offsets concentration risks.
Note: Segment shares of all individual segments available upon report purchase
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By Distribution Channel: Brokers Maintain Dominance While Embedded Partnerships Accelerate
Brokers and independent agents wrote 55.7% of 2024 premiums, anchoring the advisory layer of the Canadian property and casualty insurance market. Their comparative-quote capability remains critical for complex commercial accounts. Direct-to-consumer platforms leverage AI chat and instant bind functions to capture younger demographics, but higher claim touchpoints keep broker retention strong. Bancassurance channels extend reach in Quebec, supported by cooperative banking networks.
Embedded insurance relationships, posting an 18.36% CAGR to 2030, integrate protection at checkout in e-commerce, payroll, and tourism portals. Canada Life–CapIntel, iA Financial Group–Symbiosis, and Beneva–Groupe Cloutier illustrate these scalable ecosystems. Accelerated adoption could lift embedded solutions to a double-digit share by 2030, further diversifying the Canada property and casualty insurance market size across channels.
By End-user Industry: Large Corporations Lead While Public Sector Accelerates
Corporate buyers absorbed 45.3% of premiums in 2024, reflecting intricate asset portfolios, contractual obligations, and regulatory exposures. Inflation drives higher insured values, especially in commercial property, energy, and logistics sectors. Small and medium-sized enterprises gain awareness of cyber threats, spurring the uptake of packaged liability products. Individual households adopt telematics-based auto and parametric home solutions that reward risk-mitigating behavior.
Public entities and non-profits, projected to rise 9.45% CAGR, boost infrastructure and professional liability cover, guided by federal climate-resilience funds and expanding healthcare mandates. Partnerships such as Sun Life with Tribal Wi-Chi-Way-Win Capital promote inclusive outreach. These trends broaden the Canadian property and casualty insurance market share distribution across buyer categories.
Note: Segment shares of all individual segments available upon report purchase
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Geography Analysis
Ontario’s 35.6% premium dominance reflects population density, diverse industries, and higher average auto premiums. The province’s 2023 auto claims ratio of 190% drives ongoing reforms to curb fraud and theft, sustaining rate adequacy. Quebec remains the second-largest market; its mixed public-private auto framework stabilizes bodily injury costs, though property repair expenses rose 55% over the past decade. British Columbia’s wildfire losses encourage property-risk engineering and raise reinsurance attachment points.
Alberta, growing at 6.29% CAGR, experiences USD 3.03 billion in 2024 weather-linked claims, including the USD 2.22 billion Calgary hailstorm. Home premiums rose 9.07% in 2025, the steepest nationwide. Rate caps hamper profitability, prompting selective underwriting and market exits, yet energy-sector demand fuels bespoke liability and property covers. Manitoba and Saskatchewan face prairie hail and flood volatility, stimulating parametric crop solutions. Atlantic consolidation, exemplified by Cal LeGrow–MacLeod Lorway, elevates broker scale and service breadth across Newfoundland, Nova Scotia, and Prince Edward Island.
Northern Territories premiums remain small yet strategic, ensuring resource exploration and remote aviation. Catastrophe risk modeling is minimal because of sparse exposure data, presenting an opportunity for technology-enabled underwriting. Across regions, provincial regulation, catastrophe profiles, and economic drivers combine to shape a nuanced territorial mosaic that underpins the Canadian property and casualty insurance market.
Competitive Landscape
The top five players indicate moderate concentration yet preserve space for niche challengers. Intact Financial Corporation leads with the majority of shares, integrating brands such as Belairdirect and BrokerLink. Definity Financial Corporation vaulted to fourth position in 2025 through its USD 2.44 billion acquisition of Travelers Canada, securing an extra USD 1.18 billion of annual gross written premiums and targeting USD 74 million.
Beneva’s merger with Gore Mutual and the earlier La Capitale–SSQ union exemplify mutual-sector scaling for digital capability and capital strength.
Technology investment differentiates leaders: Intact’s USD 1.67 million cybersecurity hub, Aviva’s AI pricing platform, and Desjardins’ telematics programs accelerate underwriting precision. Mid-tier carriers exploit white space in cyber, marine, and parametric products, while MGAs deploy data analytics to serve underserved SMEs. Embedded-insurance startups partner with fintechs to bypass legacy distribution, intensifying competition for personal lines. Overall, innovation, capital discipline, and selective consolidation continue to sculpt the competitive intensity of the Canada property and casualty insurance market.
Canada Property And Casualty Insurance Industry Leaders
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Intact Financial Corporation
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Desjardins General Insurance Group
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Aviva Canada
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TD Insurance
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The Co-operators Group
- *Disclaimer: Major Players sorted in no particular order
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Recent Industry Developments
- May 2025: Definity Financial Corporation announced its USD 2.44 billion acquisition of Travelers Canada, adding USD 1.18 billion in annual premiums and targeting USD 74 million
- April 2025: Hadron agreed to acquire The Guarantee Company of U.S., North America, from an Intact subsidiary, broadening admitted product capacity nationwide.
- December 2024: Beneva unveiled its merger with Gore Mutual and Unica Insurance, pending regulatory approval, to expand its national footprint.
- November 2024: Sun Life partnered with Tribal Wi-Chi-Way-Win Capital to support Winnipeg job growth and the Canadian Dental Care Plan.
Research Methodology Framework and Report Scope
Market Definitions and Key Coverage
Our study defines Canada's property & casualty (P&C) insurance market as all direct premiums written in Canada that protect physical assets and cover third-party liability across personal, commercial, and specialty lines; this encompasses auto, property, liability, marine, aviation, cyber, and other non-life covers placed through licensed carriers and Lloyd's syndicates.
Life, accident & sickness, mortgage default, and out-of-country reinsurance transactions sit outside this scope.
Segmentation Overview
- By Line of Business (Value)
- Auto
- Personal Property
- Commercial Property
- Liability
- Specialty Lines (Marine, Aviation, Cyber, etc.)
- By Distribution Channel (Value)
- Brokers / Independent Agents
- Direct-to-Consumer (Online & Call-centre)
- Bancassurance
- Embedded & Affinity Partnerships
- Others
- By End-user Industry (Value)
- Individuals & Households
- Small & Medium-sized Enterprises (SMEs)
- Large Corporations
- Public Sector & Non-Profits
- By Region (Value)
- Ontario
- Québec
- Alberta
- British Columbia
- Manitoba & Saskatchewan
- Atlantic Canada
- Northern Territories
Detailed Research Methodology and Data Validation
Primary Research
Mordor analysts held structured calls with underwriting heads, provincial brokers, and claims-management experts across Ontario, Alberta, Québec, and the Atlantic provinces. These conversations validated market-share shifts, embedded-insurance penetration, average selling prices, and expected rate-filing outcomes, filling gaps that secondary data alone could not close.
Desk Research
We began with publicly available regulatory filings from the Office of the Superintendent of Financial Institutions, provincial regulators, and Statistics Canada that disclose premium volumes, claim ratios, and solvency metrics; these provided the statutory starting point. Analysts then layered industry data from the Insurance Bureau of Canada, CatIQ catastrophe loss databases, and trade-association yearbooks such as the Canadian Independent Adjusters Association to capture loss-cost trends and weather-related impacts. Complementary inputs came from company annual reports, investor decks, and media coverage accessed via Dow Jones Factiva, while economic baselines, GDP, housing starts, and vehicle fleet growth were sourced from the Bank of Canada and CMHC. This list is illustrative, not exhaustive; many additional documents informed specific clarifications during modeling.
Market-Sizing & Forecasting
A top-down build starts with 2024 direct premium totals by line, converts them to U.S. dollars, and adjusts for IFRS-17 restatements before applying forecast drivers, housing completions, fleet additions, repair-cost inflation, catastrophe loss frequency, and cyber-attack incidence. Results are cross-checked through a selective bottom-up roll-up of carrier premium disclosures and sampled average-premium-per-policy figures, allowing us to fine-tune line items where statutory groupings mask specialty covers. Forecasts to 2030 rely on multivariate ARIMA models, and coefficients are benchmarked with consensus expectations surfaced in primary interviews. Where bottom-up visibility is thin (for example, embedded micro-policies), gap factors are back-solved so total written premium aligns with broker commission pools and reinsurer cession ratios.
Data Validation & Update Cycle
Outputs pass three filters: automated variance flags against historical series, peer-market cross-checks, and a second-analyst audit before sign-off. We refresh every twelve months; mid-cycle reviews trigger if NatCat losses or regulatory shifts move premiums by three percent or more.
Why Mordor's Canada Property And Casualty Insurance Industry Size - Market Report On Share, Growth Trends & Forecasts Analysis Baseline Commands Reliability
Published estimates often diverge because firms differ on currency translation, IFRS-17 treatment, and whether public auto insurers or embedded add-ons are inside scope.
Key gap drivers include Mordor's inclusion of specialty cyber premiums, use of forward exchange rates rather than spot, and an annual refresh cadence versus occasional project work elsewhere.
Benchmark comparison
| Market Size | Anonymized source | Primary gap driver |
|---|---|---|
| USD 95.76 B (2025) | Mordor Intelligence | - |
| CAD 74.79 B (2023) | Global Consultancy A | Excludes Lloyd's & public auto, uses calendar-year DPW only |
| CAD 80 B (2022 avg.) | Industry Association B | Omits specialty lines; pre-IFRS-17 figures |
| CAD 84.1 B (2022) | Regional Consultancy C | Currency not converted; reserve releases inflate base |
These comparisons show that Mordor's disciplined scope choices, currency normalization, and mixed-method checks deliver a balanced, transparent baseline that decision-makers can trace back to clear variables and repeatable steps.
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Key Questions Answered in the Report
What is the current size of the Canada property and casualty insurance market?
The Canada property and casualty insurance market size reached USD 95.76 billion in 2025 and is projected to climb to USD 126.49 billion by 2030.
Which line of business generates the most premiums?
Auto insurance leads, accounting for 37.4% of total premiums in 2024, driven by mandatory coverage and rising vehicle values.
How fast are embedded insurance partnerships growing in Canada?
Embedded and affinity partnerships are the fastest-growing channel, with an 18.36% CAGR expected through 2030, reflecting strong fintech and e-commerce integration.
Why are premiums rising for personal auto insurance in Alberta and Ontario?
Escalating repair costs, vehicle theft, and severe weather pushed Ontario’s comprehensive claims ratio to 190% in 2023, necessitating premium adjustments for profitability.
How are reinsurers reacting to Canada’s wildfire losses?
After CAD 7.6 billion in 2024 catastrophe claims, reinsurers reduced capacity and raised pricing, prompting insurers to optimise retention and align with OSFI’s 2025 guidance.
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