The Registered Insurance Brokers of Ontario (RIBO), the self-regulatory organization for insurance brokers in Ontario, has submitted proposed amendments to the Registered Insurance Brokers Act (RIBA) and its regulations, to the Ontario Ministry of Finance (collectively, the “Proposed Amendments”). The Proposed Amendments are intended to demonstrate RIBO’s alignment with the Ontario Government’s stated objective of increasing consumer protection related to financial services in Ontario.
RIBO says that the Proposed Amendments were made with a view to increasing transparency, addressing the provision of insurance advice through diverse digital platforms, and reflecting the increasing importance of consumer protection.
The Proposed Amendments include, among other things:
- Opening hearings of RIBO’s discipline committee.
- Enhancing enforcement powers by giving RIBO the ability to levy administrative penalties.
- Giving RIBO the ability to characterize a broker’s failure to cooperate with RIBO as misconduct.
- Imposing a duty on principal brokers to report certain suspected acts of misconduct.
- Bringing fines and penalties that are available to RIBO’s discipline committee up to date.
- Updating minimum errors & omissions limits.
The Proposed Amendments also include updates to brokers’ continuing education and professional development requirements, which would become effective in 2018. Although no additional hours would be required as part of the amendments to the education and professional development, a new ethical skills category would be created, as well as minimum requirements for technical skills, and a cap on the number of hours allowed for “personal skills”. The amendments related to continuing education are part of RIBO’s broad public protection mandate and are aimed at enhancing broker professionalism.
According to Tracy McLean, President of RIBO, the Proposed Amendments would the most comprehensive yet. In RIBO’s Fall 2017 Bulletin (here: https://www.ribo.com/index.php?option=com_content&view=article&id=39&Itemid=115), Tracy McLean reported that, after a meeting with the Ministry of Finance, RIBO’s Proposed Amendments were well received. The Proposed Amendments have not yet gone to the Legislative Assembly for first reading.
We will keep you updated with respect to the progress of the Proposed Amendments.
