Definity to Acquire Travelers’ Canadian Operations in $3.3 Billion Deal

30 May, 2025

Definity Financial Corp., a leading Canadian insurance provider, has announced a $3.3-billion agreement to acquire the Canadian operations of U.S.-based insurance giant Travelers Companies Inc. This landmark deal marks one of the largest transactions in Canada’s property and casualty insurance industry, significantly expanding Definity’s market presence. The acquisition includes Travelers Insurance Company of Canada and its associated business units, further strengthening Definity’s capabilities in commercial and personal insurance offerings across the country

The transaction will be funded through a combination of cash reserves, debt, and equity financing, with Definity securing a $1.05-billion private placement from Intact Financial and Health Care of Ontario Pension Plan (HOOPP). This strategic support underscores investor confidence in Definity’s growth trajectory and its ability to integrate large-scale operations efficiently. The deal is expected to deliver long-term value by increasing Definity’s market share and providing greater scale to compete with top-tier insurers in Canada

Once completed, this acquisition will add approximately $1.6 billion in gross written premiums to Definity’s business portfolio. It will also bring more than 400 employees into the company, enhancing its operational capabilities and service network. Definity plans to maintain and grow the acquired business under its existing brands, preserving customer relationships and broker networks across provinces

This move is aligned with Definity’s strategy to become a dominant player in Canada’s insurance landscape. With its strong performance, experienced leadership, and expanding footprint, the company is positioning itself for sustainable growth. The deal is subject to regulatory approvals and is expected to close in the first quarter of 2025

For stakeholders, customers, and industry observers, Definity’s acquisition of Travelers Canada signals a bold step toward industry consolidation and innovation in insurance solutions across Canadian markets.

Related News

Interview