One of the industries that's positively contributing to Ontario's improving economy is the insurance industry, a new report indicates.

The study, conducted by The Conference Board of Canada, found that the insurance industry added approximately $4.1 billion in direct contributions to Ontario's gross domestic product in 2009, the latest year for which data was available. In addition, $3.4 billion was contributed to the province's economy indirectly, totaling $7.5 billion altogether.

At the Economic Club of Canada in Toronto, Charles Brindamour, chair of the board of the Insurance Bureau of Canada, said he was pleased by the findings and made a prediction about how the insurance industry will impact the province's function in the years ahead.

"Both economically and socially, insurance has and will continue to play a critical role in the development and growth of the province," he said.

In addition to how much income the insurance industry generates for the province, the report also detailed the industry's impact on the jobs market. Approximately 22,000 people in urban and rural communities across Ontario are working for insurers directly, with an additional 41,000 indirectly in what are described as "spin-off" jobs.

Confirming Brindamour's assertion that the insurance industry will help to continue Ontario's economic growth potential, the study indicated Ontario's major firms are planning to expand their payrolls by 10 per cent in the next three years. These firms include the Toronto Financial Services Alliance, the Insurance Bureau of Canada and the Insurance Brokers Association of Ontario.

Ralph Palumbo, vice president of the IBC's Ontario division, also commented on the report.

"The report quantifies what industry has long known: that it has a substantial economic footprint in the province, one with significant growth potential built on well-paying jobs suited to the skills of the province's highly educated workforce," said Palumbo.

The report went into a considerable amount of specificity with regards to the insurance industry's impact on Ontario's employment scene. For example, in Ontario's private sector, two out of every 100 people works for the insurance industry, which comprises 6,000 business establishments. In addition, wage levels for these jobs are 32 per cent above the provincial average.