FSRA adopts new reporting guidance for life agents

The Financial Services Regulatory Authority of Ontario (FSRA) issued new guidance that aims to bolster consumer protection by ensuring that life agents are meeting qualification standards.

The guidance, which took effect Feb. 25, sets out reporting requirements for agents (and insurers’ oversight obligations) in three key areas: errors and omissions insurance, continuing education credits, and agents’ contracted insurers.

FSRA said the guidance is intended to protect consumers by helping to confirm that agents are properly qualified, and that they are subject to adequate oversight by both insurers and the regulator.

“Strong regulatory supervision, supported by each insurer’s responsibility for its agents, is critical to ensuring that agents comply with the law and sell products that consumers need and can afford,” the agency said in a notice.

The new guidance was finalized after a consultation last fall.

As a result of that process, FSRA made several changes to the final guidance, such as clarifying that courses focused on increasing sales and generating leads don’t count towards agents’ CE requirements.

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