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OSFI preparing for mixed bag for remainder of the year     (Copyright Thompson’s World Insurance News     Not to be redistributed by individual recipients.)     The Office of the Superintendent of Financial Institutions is anticipating a mixed bag for the p&c industry as 2010 plays out.     “Capital is strong, and has proven to be sufficient for the travails faced by the industry over the past few years,” assistant superintendent Mark White told the Property and Casualty Insurance Invitational Forum in Cambridge, Ont.     “But the difficulties of years past are not behind the industry just yet.”     Mr. White outlined five of the regulator’s current concerns: low interest rates, Ontario auto, auto liability caps, personal property insurance pricing and commercial insurance competition.     “Even with the prospect of rising interest rates, we are still in a historically unique period of very low rates — and investment yields will not dramatically increase in the short term,” he said.     “This is a low tide that could expose insurers who are too reliant on investment profits rather than underwriting profits.”     Ontario auto insurance still has several more months to go before the government’s reform measures are implemented for new and renewal business.     “We are cautiously optimistic that the reforms will achieve the desired effect of dampening the otherwise inexorable rise in claims costs, while introducing more choice to the consumer.”     The issue of liability caps also has a long tail.     More in our May 24, 2010 edition             Thompson’s World Insurance News P.O. Box 1027,  Waterloo, Ontario,  Canada  N2J 4S1 Tel: 519-579-2500 Fax: 519-745-7321 mpub@sympatico.ca THOMPSON’S WORLD INSURANCE NEWS , Canada’s only independent weekly for p&c insurance professionals, has been the industry’s most trusted news source since 1988.