The 5 Big Names in Canadian Insurance

Some insurance companies have combined with brokerage companies, banks and other financial institutions to offer their customers a wider range of services. That is certainly the case for the Canadian insurance industry, which has experienced a number of acquisitions and mergers.

Below we explore the five largest Canadian insurance companies defined by their annual revenue in 2019. The revenue figures mostly include insurance premiums charged to policyholders, earnings from investing those premiums, and other insurance products embedded in investment vehicles such as mututal funds.

However, it’s important to note that many insurance companies offer other financial services, such as wealth management. As a result, some financial firms might be larger than the ones listed here, but their insurance business is not one of the largest components of their revenue. Also, the numbers reported are in Canadian dollars and where possible the figures are converted to U.S. dollars at a rate 1.30 Canadian per U.S. dollar, which was the exchange rate at the end of 2019.

Manulife Financial Corp.

Manulife Financial (NYSE: MFC) is the largest insurance provider in Canada and also offers financial services to its customers. The company is headquartered in Toronto, and in 2019, earned $61 billion in revenue (47 billion U.S. dollars or USD), which included insurance premiums and income earned from investing those received premiums. Manulife operates in Canada, Asia, and Europe as well as in the United States through its John Hancock subsidiary. By the end of 2019, the company employed about 38,000 people and had nearly 98,000 agents. Manulife had 1.2 trillion Canadian dollars ($920 billion USD) in assets under management.

The firm was established as The Manufacturers Life Insurance Company in 1887 and sold its first out-of-country policy in Bermuda in 1893. In 2002, the China Insurance Regulatory Commission (CIRC) granted a branch of the company, approval to open a branch in Guangzhou. This was the first license to open a branch in China granted to a foreign-invested joint-venture life insurance company. Manulife also has licensed branches in more than 50 cities on the Chinese mainland.

Great-West Lifeco

Great-West Lifeco, Inc. is a financial services provider headquartered in Canada and operates as a holding company for six subsidiaries, which provide insurance to their customers in North America, Europe, and Asia. Great-West Lifeco offers a variety of insurance policies, including life, health and disability insurance.

By the end of 2019, the company employed about 24,000 people and 197 advisor relationships serving 31 million customers. Great-West manages $772 billion Canadian dollars ($594 billion USD) in assets under management. Great-West generated nearly $50 billion in revenue ($38 billion USD), which included insurance premiums, deposits, and income from investments, such as dividends in 2019.

Sun Life Financial

Sun Life Financial (NYSE: SLF) is based in Toronto and one of the oldest insurance providers, having been established in 1865. In addition, it offers health insurance policies, investment products, and wealth management services. The company offers these services to clients around the world, including in Asia, the United Kingdom, and the U.S.

Sun Life Financial has more than 40,000 employees and nearly 126,000 advisors as of the end of 2019. Sun Life had 1.1 trillion Canadian dollars (or nearly $850 billion USD) in assets under management. Revenue from insurance-related products was nearly $38 billion in 2019 ($29 billion USD), which included insurance premiums, segregated fund deposits, which are life insurance products embedded within mutual funds. Sun Life also earns revenue from fees for providing insurance management for company benefit plans, which is called an administrative services only (ASO) agreement.

iA Financial Group

Industrial Alliance Insurance and Financial Services (TSE: IAG.TO) does business as IA Financial Group. The company offers a wide range of insurance and financial services to its clients, including businesses and individuals. In 2015, the company began focusing its efforts on building its base in the U.S. to take advantage of perceived growth opportunities. Founded in 1892, the company has its headquarters in Quebec City.

IA Financial Group has more than $189 billion ($145 billion USD) in total assets under management, and in 2019, earned $11.4 billion ($8.8 billion USD) in premiums and deposits. Industrial Alliance has 7,600 employees with 25,000 representatives serving four million customers.

Desjardins Group

Desjardins provides financial services and insurance products and had $313 billion in total assets, ($241 billion USD), under management as of the end of 2019. Desjardins has more than 48,000 employees servicing 7 million customers throughout Canda. Revenue from insurance premiums totalled $9.4 billion ($7.2 billion USD) in 2019.