The Canadian Council of Insurance Regulators (CCIR) and the Canadian Insurance Services Regulatory Organizations (CISRO) have released a guidance document for insurers and intermediaries on treating customers fairly.
The guidance is principles-based and gives insurers and intermediaries “the necessary latitude to determine how best to achieve the expected customer outcomes based on the nature, size and complexity of their activities,” the document says. It is based on international standards for insurance regulation by the International Association of Insurance Supervisors.
Insurers are responsible for ensuring customers are treated fairly thoughout the life-cycle of a product, while intermediaries have a key role in building public trust and confidence in the insurance sector.
The organizations consulted with their regulatory partners and industry stakeholders in creating the guidance because the different jurisdictions have their own regulations, the guidance says.
“Our mandate as insurance regulators is to ensure that all market participants have a focus on treating customers fairly,” says Ron Fullan, chair of CISRO, in a release. “This guidance document outlines the key principles that we expect those market participants to engrain into their daily practices.”
The guidance can be read here.