Great-West Lifeco reports lower Q3 profit due to hurricane-related losses
Hurricanes Harvey, Irma and Maria blamed for a $93M slump in profits
Great-West Lifeco Inc. reported a drop in its third-quarter profit compared with a year ago as it was hit by costs related to hurricanes Harvey, Irma and Maria.
The insurance company says it earned $581 million — or 59 cents per share — for the quarter that ended Sept. 30, compared with a profit of $674 million, or 68 cents per share, a year ago.
Great-West (TSX:GWO), through its subsidiary London Reinsurance Group Inc., offers property catastrophe coverage to reinsurance companies.
It says the most recent quarter's results included losses related to estimated claims resulting from the hurricanes totalling $175 million after taxes.
However, it noted that the loss estimate may change as additional information becomes available.
Excluding the hit, the company says it earned $756 million for the quarter, up $82 million from a year ago, primarily due to higher fee income and lower expenses.