(Adds details, background)
AMSTERDAM, Nov 11 (Reuters) - Dutch insurer Aegon AEGN.AS
on Thursday reported a net loss of 524 million euros ($563.04
million) in the third quarter, due mainly to a book loss on the
sale of Canadian activities, slightly missing market
expectations.
Analysts polled for Reuters had expected an average
third-quarter net loss of 509 million euros.
Aegon reported a charge of 950 million euros in the three
months through September, 751 million euros of which came from a
book loss in Canada.
Underlying profit before tax fell 21 percent to 436 million
euros, due largely to a change in the assumption models it uses
to calculate premiums and benefits.
Return on equity was 6.8 percent, or 8.1 percent when
excluding the assumption changes, it said in a statement.
Life insurer Aegon, which owns the Transamerica brand, has
been under pressure due to investor concerns about capital
ratios resulting from new Solveny II requirements that come into
force January 2016.
Aegon said its IGD solvency ratio rose to 225 percent from
206 percent in the second quarter, mainly thanks to divestments,
earnings and one-time adjustments.
The level of capital buffers at the Aegon and Delta Lloyd
have raised concern over the preparedness of the broader
European industry for tougher rules on the amount of money they
need to hold to withstand market shocks.
"The progress we have recently made in preparing for
Solvency II gives us confidence that we are well-positioned to
operate successfully in this new regulatory framework," Chief
Executive Alex Wynaendts said.
Shares in Dutch rival insurer Delta Lloyd have shed half
their value since August on expectations that it will need to
raise around one billion euros in capital to meet the new
regulations.
($1 = 0.9307 euros)