TORONTO, Feb. 15, 2018 /CNW/ – Echelon Financial Holdings Inc. (“EFH” or “the Company”) (TSX: EFH), which operates in the property and casualty insurance industry in Canada, today reported net loss attributable to shareholders on continued operations of $5.0 million, or $0.42 per diluted share, for the three months ended December 31, 2017.

TORONTO, May 14, 2019 /CNW/ – Echelon Financial Holdings Inc. (“EFH” or “the Company”) (TSX: EFH), which operates in the property and casualty insurance industry in Canada, today reported a net loss attributable to shareholders of $9.1 million, or $0.76 per diluted share, for the three months ended March 31, 2019. Excluding costs related to the sale of Echelon Insurance and the unregulated warranty business of Echelon Financial Holdings Inc., the Company reported a net loss attributable to shareholders of $6.0 million or $0.50 per diluted share.

Discontinued Operations

Agreement to sell Echelon Insurance

On November 9, 2018 the Company entered into a definitive agreement to sell Echelon Insurance and its unregulated warranty business (“Discontinued Canadian operations”). The agreement was approved by the Company’s shareholders on January 23, 2019 at a special shareholders meeting, and is now subject to regulatory approvals. The Company anticipates that these approvals will be received during the second quarter of 2019. The detailed terms and conditions of the definitive agreement, including the potential impact of the sale are disclosed in greater detail in EFH’s recent SEDAR filings.

Discontinued European Operations

On August 4, 2016, Echelon entered into a definitive stock purchase agreement to sell its European insurance subsidiary to New Nordic Odin Guernsey Limited (NNGL), subject to regulatory approval. On February 28, 2017, regulatory approval was received from the Danish Financial Supervisory Authority, which completed the necessary approvals required for the sale. The Company completed the sale on March 7, 2017, and retains no residual insurance risk or other financial risk, other than credit risk associated with the loan receivable from the sale. The loan was repaid on June 29, 2018.

First Quarter 2019 Highlights

• Net operating loss of $0.36 per share compared to an income of $0.29 per share in the first quarter of 2018.
• A combined operating ratio of 109% compared to 95% in the first quarter of 2018.
• A 25% increase in direct written premiums over the same period in 2018 to $98.9 million as a result of organic growth in Personal and Commercial Lines nationally.
• A pre-tax gain on invested assets of $7.5 million in the quarter compared to $0.9 million in the prior year quarter, positively impacted by lower short-term bond yields resulting in better performance of the Fixed Income and Preferred Share portfolio.
• Closing book value per share of $11.74, a decrease of $0.47 from the fourth quarter of 2018. Costs related to the sale of the Discontinued Canadian operations reduced the book value per share by $0.26.

“Echelon reported a combined operating ratio of 109% for the first quarter of 2019, compared to 95% for 2018,” commented Serge Lavoie, Chief Executive Officer. “These results were driven by our Personal and Commercial Automobile lines of business in Ontario and Quebec, which were negatively impacted by extended winter weather conditions.”

“We continue to work towards the close of the sale of Echelon Insurance and EFH’s unregulated warranty business to CAA Club Group, and remain confident that this transaction will close during the second quarter.” he concluded.

Financial Summary on Continued Operations

^{(1) Net operating income is defined as underwriting income plus interest and dividend income, net of tax, excluding catastrophic losses.
(2) Net operating income is adjusted to that attributable to shareholders for per share calculation.}
First Quarter Review

The Company reported a net operating loss of $4.4 million or $0.36 per share in the quarter, compared to income of $3.5 million or $0.29 per share in the first quarter of 2018, a decrease of 224%.

Direct written premiums increased by 25% to $98.9 million. The increase in premiums was driven by continued organic growth in Ontario Personal Auto, supplemented by rate increases in both Commercial and Personal Lines.

Personal Lines generated an underwriting loss of $5.1 million, compared to an underwriting income of $2.0 million in the same period last year, a result driven by poor automobile results in Ontario and Quebec.

Commercial Lines recorded an underwriting loss of $2.0 million, compared to an underwriting income of $1.2 million in the same period last year, due to weaker warranty and surety results.

The Company’s expense ratio decreased over the prior period by 3.4%, attributable to operational efficiencies realized as a result of the Passport System rollout and reduced salary expense ratio from increased scale.

Investment income was $3.7 million, compared to $2.0 million in the first quarter of 2018. The pre-tax gain on invested assets was $7.5 million in the quarter, compared to $0.9 million in the first quarter of 2018. The fair value of Echelon’s investment portfolio, including finance receivables, was $536 million.

Net adverse development on prior year claims of $6.6 million was recorded in the first quarter of 2019, compared to favourable development of $3.6 million in the same period in 2018.

Operating Results

^{(1) Excluding head office overhead costs.}

Capital Management

All related entities remain well capitalized. The Minimum Capital Test (MCT) ratio of EFH’s subsidiary, Echelon Insurance, as at March 31, 2019, was 215%, which comfortably exceeds the supervisory regulatory capital level required by the Office of the Superintendent of Financial Institutions (OSFI). ICPEI’s MCT ratio of 407% was also in excess of provincial supervisory targets.

For the period ended March 31, 2019, total shareholders’ equity decreased by $5.2 million to $140.4 million from December 31, 2018.

As of March 31, 2019, EFH has approximately $13.5 million of net liquid assets and will receive proceeds of $175 million from the sale of Echelon Insurance to CAA. Additionally, EFH holds 75% of ICPEI with proportional shareholder’s equity of $12 million.

Full Financial Statements and Management’s Discussion and Analysis (MD&A) are available on SEDAR and on the Company’s web site at echeloninsurance.ca.

Non-IFRS Financial Measures

EFH uses International Financial Reporting Standards (IFRS) and certain non-IFRS measures to assess performance.  Readers are cautioned that non-IFRS measures do not have a standardized meaning under IFRS and may not be comparable to similar measures used by other companies. EFH analyzes performance based on operating income and underwriting ratios such as combined, expense and loss ratios.

Forward-looking Information

This news release contains forward-looking information based on current expectations. This information includes, but is not limited to, statements about the operations, business, financial condition, priorities, targets, ongoing objectives, strategies, litigation outcomes and outlook of EFH for 2019 and subsequent periods.

This information is based upon certain material factors or assumptions that were applied in drawing a conclusion or making a projection as reflected in the forward-looking information. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific. A variety of material factors, many of which are beyond EFH’s control, affect the operations, performance and results of its business and could cause actual results to differ materially from the expectations expressed in any of this forward-looking information.

EFH does not undertake to update any forward-looking information. Additional information about the risks and uncertainties about Echelon’s business is provided in its disclosure materials, including its Annual Information Form and Management Discussion & Analysis, filed with the securities regulatory authorities in Canada, available at www.sedar.com.

About Echelon Financial Holdings Inc.

Founded in 1998, Echelon Financial Holdings Inc. operates in the property and casualty insurance industry in Canada, providing personal and commercial lines insurance exclusively through the broker channel. The Company distributes insurance products through Echelon Insurance and The Insurance Company of Prince Edward Island. It trades on the Toronto Stock Exchange under the symbol EFH. For more information, please visit echeloninsurance.ca.

Company contact information: Jennifer Kew, Investor Relations, 905-214-7880, ir@echeloninsurance.ca

Toronto, October 23, 2020 – Echelon Financial Holdings Inc. (TSX: EFH) (“EFH” or the “Company”) announces that due to a variety of circumstances including COVID-19, it intends to delay its annual and special meeting of shareholders (the “Meeting”) from October 27, 2020 to December 11, 2020. The Meeting will be held in a virtual only meeting format.

The record date for the purposes of determining those shareholders entitled to receive notice of and to vote at, the Meeting has been set as November 10, 2020.  Detailed information on how to participate in the virtual Meeting will be included in the Company’s Management Information Circular and notice of meeting (the “Meeting Materials”) expected to be mailed to shareholders and filed following mailing thereof in November 2020.

In addition, the Company announces that it has received the resignations of Andrew Pastor and Lee Matheson as members of the board of directors, which resignations have been accepted by the board of directors of the Company.  The board of directors of the Company thanks Messrs. Pastor and Matheson for their services as directors of the Company and wishes them prosperity in their future endeavors.

Forward-looking Information

This news release contains forward-looking information based on current expectations. This information

includes, but is not limited to, statements about the timing of the Company’s annual and special general meeting of shareholders and the preparation of the accompanying information circular. These statements, which appear in this press release generally can be identified by the use of forward-looking words such as “may”, “will”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “plan”, “would”, “should”, “could”, “trend”, “predict”, “likely”, “potential” or “continue” or the negative thereof and similar variations, and include the proposed date of the Meeting, the proposed record date, the format of the Meeting and the date of filing and content of the Meeting Materials.

This information is based upon certain material factors or assumptions that were applied in drawing a conclusion or making a projection as reflected in the forward-looking information. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific. A variety of material factors, many of which are beyond EFH’s control, affect the operations, performance and results of its business and could cause actual results to differ materially from the expectations expressed in any of this forward-looking information.

About Echelon Financial Holdings Inc.

Founded in 1998, Echelon Financial Holdings Inc. operates in the property and casualty insurance industry in Canada, providing personal and commercial lines insurance exclusively through the broker channel. The Company distributes insurance products through The Insurance Company of Prince Edward Island. It trades on the Toronto Stock Exchange under the symbol EFH.

For more information, please visit www.icpeiholdings.ca

Investor Relations, 905-602-2150, ir@icpeiholdings.ca

ICPEI Holdings Inc. Reports Second Quarter 2022 Results

Toronto, August 17, 2022 – ICPEI Holdings Inc. (the “Company”) (TSXV: ICPH) which operates in the property and casualty insurance industry in Canada, today reported net income of $0.9 million for the quarter ended June 30, 2022.

Serge Lavoie, Chief Executive Officer, commented “We are executing on our growth strategy and continue our impressive growth this quarter with premiums increasing by 72% during the quarter compared to the same period last year and a combined ratio of 93.8% for Q2 2022.”

Highlights

• Premiums written of $31.2 million in this quarter represent a 72% growth over the same period in 2021. Personal Lines increased by 45% and Commercial Lines increased by 106% in this period when compared to the same period last year.
• ICPEI was granted a license to write commercial business in Alberta in April 2022.
• The business mix at the end of the second quarter of 2022 is Commercial Lines of 53% and Personal Lines 47% compared to Commercial Lines of 46% and Personal Lines 54% in the same period last year. The growth is in line with our strategy to expand geographically in Quebec and Ontario and the commercial line of business.
• A Combined ratio of 93.8% resulting in an underwriting income of $1.2 million. The higher combined ratio compared to 81.2% in the same period last year was the result of higher claim frequency in the personal line.
• Investment income recorded a loss of $0.2 million in the quarter compared to an income of $0.6 million in the same period last year. Majority of our investment is in fixed income and is marked to market. With rapidly rising interest rate, valuation dropped. On the positive side, the expected yield in our investment portfolio has increased from 3.15% to 4.04% in the quarter.
• The book value per share was increased by $0.06 to $1.94 from EPS in the quarter. Due to rapidly increasing interest rate environment, market value of our investment decreased and we recorded unrealized losses in Other Comprehensive Income that decreased the book value per share by $0.06. As a result, closing book value per share of $1.88 remained the same at end of last quarter.

• Sum of Operating expenses and Corporate expense equal Operating Costs on Consolidated Statements of Income and Comprehensive Income.
• Underwriting income is defined as net earned premiums less net claims incurred, net acquisition costs, operating expenses, and excludes any impact of change in discount rate on claims and corporate expenses.
• Book value per share is calculated by dividing shareholder’s equity by the number of common shares outstanding.
• Return on Equity is twelve months rolling net income attributable to shareholders on continued operations divided by average shareholder’s equity.

Underwriting Results:

Capital Management

The Minimum Capital Test (“MCT”) ratio of ICPH’s subsidiary, The Insurance Company of Prince Edward Island (ICPEI) as at June 30, 2022 was 296%, which comfortably exceeds the supervisory target of 150%.

COVID-19 Pandemic Update

Currently, COVID-19 did not have any significant impact on the premiums, collections, investments or other operational activities of the Company, but the impact remains uncertain as the pandemic continues to evolve.

Non-IFRS Financial Measures

The Company uses both IFRS and certain non-IFRS measures to assess performance. Securities regulators require that companies caution readers about non-IFRS measures that do not have a standardized meaning under IFRS and are unlikely to be comparable to similar measures used by other companies. The Company analyzes performance based on underwriting income and underwriting ratios such as combined, expense and loss ratios, which are non-IFRS measures. Underwriting income is defined as net earned premiums less net claims incurred, net acquisition costs, operating expenses, and excludes any impact of change in discount rate on claims and corporate expenses. Loss ratio is net claims incurred divided by net earned premiums. Expense ratio is net acquisition costs plus operating expenses divided by net earned premiums. Combined ratio is the sum of loss ratio and expense ratio. Return on Equity (“ROE”) is based on trailing twelve months net income attributable to shareholders on continued operations divided by average total equity. Book value per share (“BVPS”) is calculated by dividing total equity by the number of common shares outstanding

Forward-looking Information

This news release contains forward-looking information based on current expectations. This information includes, but is not limited to, statements about the operations, business, financial condition, priorities, targets, ongoing objectives, strategies, litigation outcomes and outlook of the Company. These statements, which appear in this press release generally can be identified by the use of forward-looking words such as “may”, “will”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “plan”, “would”, “should”, “could”, “trend”, “predict”, “likely”, “potential” or “continue” or the negative thereof and similar variations.

This information is based upon certain material factors or assumptions that were applied in drawing a conclusion or making a projection as reflected in the forward-looking information. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific. A variety of material factors, many of which are beyond the Company’s control, affect the operations, performance and results of its business and could cause actual results to differ materially from the expectations expressed in any of this forward-looking information.

About ICPEI Holdings Inc.

Founded in 1998, ICPEI Holdings Inc. operates in the Canadian property and casualty insurance industry through its wholly owned subsidiary The Insurance Company of Prince Edward Island (ICPEI). ICPEI provides commercial and personal lines of insurance products exclusively through the broker channel.

The Company’s name was changed from EFH Holdings Inc. to ICPEI Holdings Inc. after receiving approval from shareholders on July 15, 2021. It trades on the TSX Venture Exchange under the symbol ICPH effective August 20, 2021 and prior to December 23, 2020 it traded on the Toronto Stock Exchange.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in

policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this

release.

For more information, please visit www.icpeiholdings.ca

Investor Relations, 905-602-2150, ir@icpeiholdings.ca