Canadian insurer Intact expects to incur half its RSA-related integration costs this year

By Nichola Saminather

TORONTO, July 28 (Reuters) - Canadian insurer Intact Financial IFC.TO will have incurred about half of the integration costs related to its acquisition of British insurance group RSA by the end of 2021, executives said on an analyst call on Wednesday.

The rest of the integration costs, estimated to be between C$375 million ($298.4 million) and C$425 million , will be taken over 2022 and 2023, executives said following Intact's second-quarter results, which beat analyst estimates late on Tuesday.

Including one-time acquisition costs, the company recorded expenses of C$108 million related to the 3 billion pound ($4.2 billion) deal in the three months through June, it said in a statement on Tuesday .

Intact shares were trading up 0.2% at C$169.93 on Wednesday, compared with a 0.1% gain in the Toronto stock benchmark .GSPTSE .

RSA will add C$100 million to Intact's net investment income this year, executives said on the call. Intact closed the RSA acquisition on June 1, and the British insurer contributed C$734 million, or 17%, of Intact's total premiums in the first month.

RSA also contributed C$57 million, or 12% of underwriting income in June, lifting Intact's operating income by 38% from a year earlier to C$3.26 a share, and handily beating analysts' forecasts. L1N2P32NZ

($1 = 1.2567 Canadian dollars)

($1 = 0.7206 pound)

(Reporting by Nichola Saminather; editing by Jonathan Oatis)