Canada’s property and casualty (P&C) insurance industry contributed nearly $32 billion to the country’s gross domestic product in 2025, according to a new report from Insurance Bureau of Canada (IBC), which also credits the sector with supporting hundreds of thousands of jobs and billions in tax revenue.
The InsurEconomy 2026 report, released by IBC, details the direct, indirect and induced impacts the P&C insurance industry has on Canada’s economy, along with the sector’s investment activity and employment figures. According to the report, the industry’s total economic impact exceeded $53 billion in 2025.
Jobs, Taxes and Investment
IBC’s report estimates the P&C insurance industry’s total employment impact at just under 361,000 jobs across the country. The industry also contributed more than $17 billion annually in federal and provincial taxes and levies, the report states.
On the investment side, P&C insurers held more than $35 billion in federal, provincial, municipal, public authority and school bonds, according to the report, underscoring the industry’s role as a major holder of Canadian government debt.
The report also points to workforce composition within the sector. As of 2025, women made up 67% of employees at P&C insurance brokerages and 61% of employees at insurance companies, compared with 47% across all industries in Canada, per the report’s figures.
Policy Priorities and Industry Outlook
Liam McGuinty, Vice-President of Federal Affairs at IBC, said 2026 has been marked by uncertainty for Canadians due to severe weather events and economic disruption, and described the P&C insurance industry as a stabilizing force that helps Canadians recover from disaster while protecting households and businesses from economic shocks.
The report also outlines policy priorities the industry is pursuing with governments, including a national solution on earthquake risk, measures to improve resilience to severe weather events, and more coordinated, growth-oriented regulation of the P&C insurance sector.
McGuinty added that the report’s findings demonstrate the industry’s role as a major contributor to Canada’s economic strength, citing its support for jobs, its investment activity, and its role in helping Canadians manage risk amid ongoing uncertainty.
IBC, established in 1964, is the national industry association representing Canada’s private home, auto and business insurers, with member companies making up the majority of the country’s P&C insurance market.
P&C Insurance Industry's 2025 Economic Contributions
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