December 17, 2001

SGI CANADA Investment Approved

SGI CANADA has received approval to strengthen its partnership with the Insurance Company of Prince Edward Island (ICPEI) by investing up to $1 million into three of its sister companies. The purchase will be made through SGI CANADA’s subsidiary, SGI CANADA Insurance Services Ltd. (SCISL).

In January 2001, SCISL purchased a 75 per cent share in ICPEI in an effort to spread risk outside the province and to protect jobs in Saskatchewan. This new purchase builds on the original investment and will garner a 25 per cent share in the three sister companies.

The companies are Charlie Cooke Insurance Agency Ltd. (CCIA), Atlantic Adjusting and Appraisals Ltd. (AAA), and Maritime Finance and Acceptance Corporation (MFAC). The companies, along with ICPEI, are part of the umbrella group of Cooke Insurance.

“CCIA is the sole distributor of ICPEI products,” said SGI CANADA President Larry Fogg. “It’s to our advantage to become a strategic partner so that we have a voice in the future of CCIA and, subsequently, ICPEI.”

SGI CANADA’s expansion into other provinces has been very successful. In addition to P.E.I., SCISL currently operates in Manitoba and Ontario. In 2000, SCISL brought in over $7 million in premiums.

“Continued expansion means new jobs will be created in Regina’s head office, our insurance risk will become less concentrated and we’ll be able to generate a higher rate of return for Saskatchewan shareholders,” said Fogg.

The investment will be funded through SGI CANADA’s existing capital and is expected to provide a greater rate of return than it would in the SGI CANADA investment portfolio.

For media inquiries only, contact:
Julianne Jack
SGI Communications
Regina
(306) 775-6907

For all other inquiries, call 1-800-667-8015.

Back to News Releases