Canadian property and casualty insurer Definity Financial Corporation has disclosed that catastrophe losses in the first quarter of 2025 would negatively impact operating income by approximately CAD 50 million, net of reinsurance recoveries.

The insurer stated that this amount was approximately double of what it expected based on first quarter historical averages.

A breakdown of the losses shows that personal auto contributed CAD 3 million, personal property CAD 33 million, and commercial insurance added CAD 14 million.

This would be approximately $0.32 per common share, net of taxes and reinsurance.

The losses have been attributed to the heavy snowfall and rain while the ground was frozen, leading to elevated property damage from roof collapses and water infiltration, mostly in Ontario, Quebec, and Atlantic Canada, in the past quarter.

The insurer stated, “Our estimated losses also include those arising from the severe ice storm that impacted Ontario in late March, resulting in downed trees and loss of power for hundreds of thousands of homes and businesses. This assessment is based on information received from customers to date, as well as an analysis of exposures.”

“With our enhanced catastrophe response capabilities, the resilience of our business model, and the commitment of our people, we have supported our impacted customers during these challenging winter months in a way that lives up to our promise of making insurance better,” added, Rowan Saunders, President and Chief Executive Officer, Definity.

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