Source: The Canadian Press

Industrial Alliance Insurance and Financial Services Inc. (TSX:IAG) reported Wednesday a third-quarter profit of $65.4 million, up 9% from a year earlier as premiums and deposits rose 15% in the company’s strongest quarter since the beginning of the recession.

The Quebec-based insurer said its earnings amounted to 78 cents per share and compared to a profit of 60.1 million or 74 cents per share in the prior-year period. Premiums and deposits during the period rose to $1.44 billion from $1.25 billion in the comparable period of 2009.

Industrial Alliance reported return on common shareholders’ equity of 12.6% for both the quarter on an annualized basis and the last 12 months ended Sept. 30 — within the company’s 12 to 14% target range.

“For the fourth quarter in a row, we delivered double-digit growth in premiums and deposits, while maintaining a stream of strong earnings,” president and CEO Yvon Charest said in a statement.

“Based on year-to-date results, the company has already surpassed the same period in 2007, which was our record year.”

“Despite these excellent results, we can’t afford to be complacent,” Charest added.

“We are continually working on new initiatives to grow our market position in all business lines, as well as to reinforce our bottom line.”

Industrial Alliance (TSX:IAG), which employs more than 3,500 people and manages some C$60 billion in assets, offers a wide range of life and health insurance products along with savings and retirement plans, RRSPs, mutual and segregated funds, securities, auto and home insurance, mortgage loans and other financial products and services.

It ranks behind Manulife Financial (TSX:MFC), Great-West Lifeco (TSX:GW) and Sun Life Financial (TSX:SLF) among Canada’s largest life insurers.

The company’s stock was down 32 cents at $31.38 in midday trading on the Toronto Stock Exchange.

IE