Intact Financial Corporation · TSX:IFC
Intact Financial — Scotiabank Financials Summit 2014
12 slides from Intact Financial's conference presentation, Sep 4, 2014
Slide 1: Intact Financial Corporation - Scotiabank Financials Summit
INTACT FINANCIAL CORPORATION (TSX: IFC) Scotiabank Financials Summit Charles Brindamour, CEO September 4, 2014 Intact Financial Corporation
Slide 2: Forward-looking statements
Forward-looking statements Certain of the statements included in this presentation about the Company’s current and future plans, expectations and intentions, results, levels of activity, performance, goals or achievements or any other future events or developments constitute forward-looking statemen
Slide 3: Disclaimer
Disclaimer This Presentation does not constitute or form part of any offer for sale or solicitation of any offer to buy or subscribe for any securities nor shall it or any part of it form the basis of or be relied on in connection with, or act as any inducement to enter into, any contract or commitm
Slide 4: Canada's P&C insurance leader
Canada’s P&C insurance leader Leader in a fragmented industry Distinct brands • Largest P&C insurer in Canada • Over $7 billion in direct premiums written • #1 in British Columbia, Alberta, Ontario, Quebec and Nova Scotia • $12.9 billion investment portfolio • Proven industry consolidator 2013 Direc
Slide 5: 36-month performance roadmap
36-month performance roadmap BEAT INDUSTRY ROE BY 5 POINTS NOIPS GROWTH OF 10% PER YEAR EVERY YEAR OVER TIME Investments Margin Pricing & and capital improvement: Segmentation: management: 0 – 3% 2 points 2 points Organic growth: Capital 4 – 6% management/ deployment: 2 – 4% Claims management: 3 poi
Slide 6: Consistent outperformance
Consistent outperformance Significant Sophisticated In-house Broker Multi-channel Proven Solid scale pricing and claims relationships distribution acquisition investment advantage underwriting expertise strategy returns 2013 outperformance Five-year average loss ratios 100.7% Industry IFC 77.2% Indu
Slide 7: Internally managed investments
Internally managed investments $12.9 billion investment portfolio Investment mix (net of hedging positions and financial liabilities Objective: 160 bps related to investments, as of June 30, 2014) Loans, 3% of ROE outperformance Cash and short- term notes, 4% Preferred shares, 9% 50% Investment 50%
Slide 8: Strategic capital management
Strategic capital management Capital management framework History of dividend growth • Strong capital base has allowed us to pursue our • We have increased our dividend each year growth objectives while returning capital to since our IPO shareholders Quarterly dividend per share • $657 million in to
Slide 9: Four avenues of growth
Four avenues of growth Personal lines • Bring advantages of scale to brokers • Build on outperformance in auto • Hard market conditions in personal • Optimize brand architecture property • Double direct capabilities Commercial lines Firming Develop • Leverage our industry • Build operated distributi
Slide 10: Our people advantage
Our people advantage Building the best insurance team Identification, development and retention of key talent is fundamental to our talent management strategy – In 2013, 22% of key talent were promoted or developed through exposure to other business units – Voluntary turnover is significantly better
Slide 11: Key takeaways
Key takeaways We have a sustainable competitive edge due to our disciplined approach and size advantage Our broad distribution platform positions us well for organic growth We have a strong financial position and a proven track record of consolidation Deep bench in place to ensure the sustainability
Slide 12: Contact Investor Relations
Contact Investor Relations General Contact Info Dennis Westfall, CFA, MBA Vice President, Investor Relations Website: http://www.intactfc.com Phone: 416.344.8004 Click on “Investor Relations” tab Mobile: 416.797.7828 Email: dennis.westfall@intact.net Email: ir@intact.net Maida Sit, CFA Phone: Direct