On August 20, the Miscellaneous Notices section of the Canada Gazette stated that Echelon Insurance and Orion Travel Insurance Company intend to make a joint application for letters patent of continuance and amalgamation.
The application for continuance of Orion's letters patent was made to the Minister of Finance of Canada. Orion is an insurance company incorporated under the Alberta Insurance Act.
At the same time, Echelon and Orion announced their intention to file a joint application for letters patent of amalgamation. This amalgamation would take place immediately after continuance.
The two insurers would be merged into one company with the same name, Échelon Assurance in French and Echelon Insurance in English. Both insurers are part of the CAA Club Group.
The effective date of the proposed continuance or amalgamation would be January 1, 2023 or such other date fixed by the letters patent of amalgamation.
The Gazette notes that publication of this notice should not be construed as evidence that letters patent will be issued. The granting of the letters patent will depend on the normal application review process under the Insurance Act and on the discretion of the Minister of Finance.
Any person who objects to these proposals may submit an objection in writing to the Office of the Superintendent of Financial Institutions.
Calgary-based insurer Orion has been licensed to do business in Quebec since 2015.
Echelon is headquartered in Mississauga. CAA Club Group acquired the firm on October 31, 2018. The transaction caused quite a stir at the time, because it involved a direct insurer’s becoming the owner of a brokerage insurer.
CAA Club Group (CCG) comprises two automobile clubs, based in Ontario and Manitoba, that provide various services to members. CCG sells insurance through its subsidiary CAA Insurance.
