In the spring, life insurance advisors who are licensed in Ontario will be required to tell regulators where they place most of their life insurance business.
In a life insurance e-newsletter published last week, the Financial Services Commission of Ontario (FSCO) reminded readers that, when they apply to renew their licenses in the spring, non-sponsored life insurance agents will be required to name the insurance company with which they conduct or expect to conduct most of their business.
"This information will be used by FSCO for notification purposes, such as when an agent fails to maintain Errors and Omission (E&O) insurance, has not completed the requirements for continuing education (CE), or has suitability issues on their renewal application," reads the notice. "FSCO will contact not only the agent, but also the primary insurer in order to resolve outstanding items as quickly as possible to avoid disciplinary action."
FSCO also says that, upon request, it will provide life companies with the names of the agents that have listed them their primary insurer.