February 27, 2024 - (Waterloo, ON) – Equitable® ended 2023 with results that speak to a pivotal year for the organization on many fronts.
“I’m pleased to report that Equitable delivered on its commitments in measurable and meaningful ways throughout 2023,” said Fabien Jeudy, President and CEO. “We successfully transitioned to the new international financial reporting standards and remained financially strong, reflected by our capital ratio. We refreshed our brand to emphasize that our clients are at the centre of everything we do. And we started executing on a five-year strategic plan to solidify a strong future and prepare our organization for tomorrow.”
Equitable’s financial strength and growth momentum – Delivering for clients.
Equitable ended the year with total capital at $1.9 billion resulting in a 172% LICAT (Life Insurance Capital Adequacy Test) ratio. This strong ratio affirms that Equitable is well capitalized to deliver on its promises to clients today and into the future. During 2023, Equitable paid $1.1 billion in claims and benefits to its clients and paid more than $104 million in dividends to clients with participating whole life contracts.
In 2023, growth momentum continued across all three lines of business for Equitable. Total premiums and deposits reached $2.6 billion, an increase of 19% over the previous year.
“Growth momentum is important for our success,” said Jeudy. “With growth comes purchasing power, economies of scale, investment flexibility and diversification of risks. Our growth also signifies the confidence that clients continue to have in us. Every year, more and more Canadians are turning to Equitable, entrusting us to protect their financial security. We welcome them and together, we work to earn that trust, every day.”
Equitable’s commitment to offering valued, simple, and comprehensive solutions was reflected in the continuous product enhancements that were delivered throughout 2023. These included the launch of a First Home Savings Account (FHSA) solution, the introduction of EZBenefits®, a group benefits solution for small businesses, and the refresh of its participating whole life insurance solutions.
Brand launch – Focused on purpose.
In the fall of 2023, Equitable launched a new brand as a testament to its focus on and commitment to clients. As part of the new brand, Equitable introduced a new logo that puts clients at the heart of all they do, with the use of a stylized ‘e’ surrounded by a circle, representing its unwavering focus on clients. A final element of its brand design is a ribbon, representing winding life journeys and Equitable’s commitment to be there for clients, today and for all tomorrows. Equitable will continue to transition to the new brand throughout 2024.
Strategic progress – Setting the foundation for a strong and lasting future.
Last year marked Equitable’s transition from the completion of an 18-month strategic review process to implementation and execution on a number of key projects.
In 2023, Equitable created the Impact Team to ensure a constant and consistent lens on the client across the entire organization. This team is focused on three areas: Brand Impact, communicating and reinforcing the Equitable story and purpose; Data Impact, gaining insights from data to constantly improve and better serve clients; and Client Impact, ensuring Equitable’s behaviours, decisions and actions lead to equitable outcomes for clients.
Over the past year, Equitable also invested in its people through the introduction of a one-week, in-person orientation program for all new people to ensure full understanding of the organization’s purpose and culture, the introduction of Growing Together events offered on Fridays to provide opportunities for people to learn and develop, and the launch of its formal hybrid work model in a reimagined head office workspace, providing a combination of modern individual workstations with extensive collaboration and creative spaces.
Digital modernization is another key strategic initiative, launched in 2023 to modernize how Equitable provides services and solutions to its clients. This includes focusing on workflows and data, as well as upgrading technology platforms and focusing on creating more engaging interfaces for clients and advisors.
“Equitable is built on more than 100 years of serving clients with excellence,” said Jeudy. “We’re now embarking on a five-year journey, preparing ourselves for the next 100 years. As a mutual, we’re accountable only to our clients. Our aim is to provide long-term financial security and stability, powered by our awesome employees, technology, and financial strength.”
2023 Financial Highlights:
- Claims and benefits to clients of $1.1 billion.
- Dividends to participating policyholders of $104 million.
- Capital strength, as measured by the LICAT ratio, ended the year at 172%.
- Participating policyholders' equity reached $1.4 billion.
- Sales of $178 million in Individual Insurance, $744 million in Savings and Retirement, and $63 million in Group Insurance.
- Premiums and deposits of $2.6 billion.
- Net income of $147 million with a further $38 million added to our Contractual Service Margin (CSM), a measure of future profit.
- Return on policyholders' equity of 11.4%.
- Assets under administration of $8.1 billion.
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About Equitable
At Equitable we believe in the power of working together. This guides how we work with each other, how we help our clients and partners, and how we support the communities where we live and work.
Together, with partners across Canada, we offer individual insurance, group insurance and savings and retirement solutions to help our clients protect today and prepare tomorrow.
We believe the world is better when we work together to build an Equitable life for all.
® or TM denotes a trademark of The Equitable Life Insurance Company of Canada.
For additional information:
Patti McKague,
AVP, Corporate Communications and Philanthropy
pmckague@equitable.ca
