Writing and Reading New Markets: Insurance in Quebec, 1931–1960

The Wawanesa Mutual Insurance Company, successful in western Canada, struggled to replicate its business model in Quebec in the 1930s. The absence of financial responsibility law in Quebec, which made purchasing automobile insurance nearly compulsory for drivers, created a unique opportunity. Wawanesa could insure taxis and fleets in a market where uninsured drivers were the norm. To accommodate this change, it became a direct writer in Quebec. The company also loosened its previously rigid management style to allow branch managers to make regionally appropriate decisions. Insurance companies that fled Quebec in the 1940s would struggle to compete upon their return, because Wawanesa became a market leader. The introduction of financial responsibility law in the province in 1961 would grow the company in the years that followed. As historians work to understand the importance of regional and legislative change to the insurance industry, this story provides a snapshot of a single company in a single market.