After a second round of consultations, Quebec’s financial services regulator, the Autorité des marchés financiers (AMF), has revealed what it expects from the industry in terms of market conduct.
“The AMF expects fair treatment of consumers to be a core component of an institution’s corporate culture,” said Danielle Boulet, the AMF’s superintendent of solvency, in a speech to the Canadian Life and Health Insurance Association (CLHIA).
The AMF also pointed out that regulators plan to harmonize regulations between jurisdictions. They will tend towards a principles-based rather than a rules-based approach.
For example, the AMF recommends that management be attentive to “events within their institution and to departures from internal policies that compromise the institution’s reputation or that threaten the fair treatment of consumers”. The AMF also expects institutions to establish compensation strategies that respect the interests of consumers. Transparency with regard to products and changes that could affect them, an equitable complaint examination system, and confidentiality should also be at the heart of institutions’ practices.