The vehicle insurance crunch is most severe in Ontario, CEO Charles Brindamour said, while on the property side insurers are beset with swelling claims caused by changing weather patterns.

The company said the increase in claims costs in auto insurance in Ontario, the uncertainty associated with the minor-injury cap in Alberta as well as the water-related damages in home insurance are leading to premium increases in personal insurance.

It added that in business insurance, current market indications suggest that the pricing environment may begin to firm up, noting that lower investment yield and lower capital levels could also contribute to increased premiums during the year.

The name change to Intact Financial, approved at May 13’s annual meeting of shareholders, arises from the company's independence from former parent ING Group of Holland. ING Canada became a widely held Canadian company in February when financially stressed ING Group sold its 70 per cent ownership for $2.2 billion.

Brindamour said all of the company’s business lines performed well in the current environment except their home insurance business, noting that property and casualty insurance tends to be non-discretionary and insulated from economic recessions.

However, he said over the last few years, the industry's results, and the company’s, have been significantly affected by the growing number of severe storms that hit numerous communities from coast to coast.

Coverage is being restricted and premiums are rising by double-digit percentages in areas prone to water damage because of aging city infrastructure or climate change.