The Financial Services Commission of Ontario (FSCO) has released the results of its life insurance agents compliance report for 2015/16. More than half of the advisors it reviewed sold five policies or fewer in the previous year.
Between April 2015 to March 2016, FSCO conducted on-site examinations of 214 life insurance agents. Of these agents, 72% had more than 10 years experience, 25% had between two and 10 years experience, and the remaining 3% had less than two years experience. Broken down by distribution channel, 79% of the examinations involved independent agents, 15% were career agents, 5% were national account agents, and 1% were call center agents.
Among other things, FSCO gathered information about the number of policies sold per year, and found that 56% of those surveyed sold between one and five policies in the previous year, 26% sold six to twenty policies, 11% sold twenty to fifty policies, and 7% sold more than fifty policies.
While FSCO's report does not reveal premium size or product type, it does show that 36% of the policies had a face value of $499,000 or less, 33% were for between $500,000 to $1,999,999, 14% were for between $2 million and $5 million, and the remaining 17% were for more than $5 million.
The report is available on the FSCO web site.