These three companies seem to have practically parcelled up the business of Eastern Canada among themselves until the ’50s, their only rivals being several local mutual associations, brought into existence probably by Montrealers anxious to secure some of the wealth that was pouring into the coffers of the Phœnix, Quebec, and Ætna, but which were doomed shortly to meet a disastrous fate. In Upper Canada the British America, a Canadian enterprise, and a branch of the Hartford, had begun operations, the former in 1833 and the latter in 1836.
The epochal decades of the ’50s and ’60s saw a tremendous impetus given to the fire insurance business in Montreal, seven great companies commencing careers which have continued with uninterrupted success till the present day. In 1851 the Royal, the famous English Company, established itself here, as did the Liverpool and London and Globe, another great British corporation, while the Mutual Fire Insurance Company of the City of Montreal was inaugurated in 1859. This last-named concern changed its title to the Montreal Canada Insurance Company in 1904 and took out a Dominion license, having operated under its Lower Canada charter until that date.
In 1854 came a tremendous test for all the companies doing business here—the big fire which practically wiped out the whole of the east end of the city. The mutual fire associations, which had been eking out a more or less haphazard existence, were unable to meet the claims made upon them as a result of this fire and consequently died ingloriously, much to the advantage of the Phœnix and the Ætna, which settled every claim promptly, and liberally. The Royal, and the Liverpool and London and Globe were also called upon to pay a share of the losses of this great conflagration, which they did at once, though of course, their liability was very small compared to that of the older established companies.
The growth of Montreal’s trade and the increase of her population during the next decade are reflected in the eagerness with which British houses, which had hitherto done their Canadian business from home, decided to operate from this end. In 1862 the North British and Mercantile Company and the London Assurance opened head offices for Canada here, to be followed in 1863 by the Commercial Union, in 1867 by the Northern Assurance, and in 1868 by the Guardian.
The coterie of fire insurance companies then in existence seems to have been capable of absorbing all the new business that could be written quite easily because for fourteen years no other concern thought it advisable to enter the Canadian field. It was in 1882 that the next office was to be inaugurated, that of the Scottish Union and National, the Caledonian opening up here in 1883, while in 1886 another Canadian enterprise, the Manitoba Assurance, was founded here, its policies being guaranteed by the Liverpool and London and Globe.
After this the colony of insurance headquarters here was swollen at regular and short intervals as will be seen from the following list of newcomers between 1886 and 1911 (the nationality of the companies being given in parentheses):
Atlas (British), 1887; Insurance Company of America (United States), 1889; Phœnix of Hartford (United States), 1890; Queen (United States), 1891; Alliance (British), 1892; Law Union and Rock (British), 1899; Ottawa Assurance (Canadian), 1899; Home (United States), 1902; German American (United States), 1904; St. Paul Fire and Marine (United States), 1907; Yorkshire (British), 1907; Provincial (British), 1910; Royal Exchange (British), 1910; Continental Life (United States), 1910; Underwriters at American Lloyds (United States), 1910; and Union of Paris (French), 1911. Since 1912 three or four small fire companies have retired, but to offset this, others, to the number of six or eight, have entered the field.
A statistical table prepared in 1912 to show Montreal’s predominant position in fire insurance underwriting in the Dominion and its long lead on Toronto, which is the second city in Canada in this connection, follows:
| Gross Premiums. | Losses. | Income. | Expenses. | |
| Montreal Companies | $14,335,000 | $6,000,000 | $14,657,000 | $11,594,000 |
| All Canada | 26,867,000 | 3,912,000 | 9,333,000 | 6,596,000 |
| Toronto Companies | 7,767,000 | 10,936,000 | 26,699,000 | 21,833,000 |