Non-compliant insurers may be subject to regulatory action
Staff on May 26, 2017
The Canadian Council of Insurance Regulators (CCIR) announced on Friday that 94% of all insurers that were required to file an annual statement of market conduct by May 1 had done so by the end of that week and that non-compliant insurers may be subject to regulatory action.“Overall, the industry has responded positively to the new information return and collaborative approach CCIR members have adopted for information gathering,” says Patrick Déry, chair of the CCIR in a press release.
The new research report is aimed at consolidating data about how insurance companies deal with the public. It will allow insurance regulators to better understand insurer operations, best practices and conduct and the information can be used to identify trends and potential risks to consumers, the CCIR notes in its announcement.
“The information we are collecting will help Canada’s insurance regulators to be more proactive,” Déry says. “We will be in a better position to see and respond to potential risks and concerns before consumers are impacted.”
The statement was a joint effort made by provincial and federal insurance regulators in order to gather cohesive, comprehensive and consistent information about Canadian insurers. The harmonized approach means that insurers operating in more than one province or territory file only one return, rather than responding to similar information requests from multiple regulators.
For the first edition of this market conduct report, a limited number of insurers were required to comply. However, the goal is for all insurers to be involved in the process. To respond to the information request, the selected insurers, who are also CCIR members, entered into service agreements with the Autorité des marchés financiers to collect and manage the data on their behalf.
“This is another step in the increasing cooperation and information sharing among CCIR members,” Déry says.
Related: Good Measures
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