FSCO gives stick to shifty auto insurers

The Financial Services Commission of Ontario (FSCO) has issued a warning notice against Premiere Insurance Solutions Inc. The notice, posted to its website, declares the company is not licensed to do insurance business in Ontario.

“The Superintendent of Financial Services is of the opinion that Premiere Insurance Solutions, 1791126 Ontario Inc., Jermaine Jones and Jenny Liauba have committed unfair or deceptive acts or practices,” it said.

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The notice reveals that the insurer advertised its services on Kijiji, a free local classifieds website, and is not “affiliated or associated with Premier Financial Group Incorporated or Premier Financial Planning Services Inc., two insurance agencies licensed by FSCO.”It further warns that consumers purchase insurance from insurers that are not licensed in Ontario are “not protected under the Insurance Act and the regulations that govern Ontario’s licensed insurance companies and agents.”

The FSCO in a notice issued on December 19, 2012, had disclosed its intention to

order Jones, Liauba, and their agents and representatives, to “cease acting or holding themselves out as insurance agents in Ontario” and to stop any public promotion stating they can arrange automobile insurance and to prohibit the insurer from “soliciting, receiving, or collecting payments and/or premiums in respect or any contract or policy of insurance.”

Read: HNW clients overexposed to risk

In another case of auto insurance fraud, the FSCO has laid 84 charges under Ontario’s Insurance Act against two rehabilitation clinics and four individuals affiliated with these clinics.

These clinics, Fairview Assessment Centre and Pacific Assessment Centre, and individuals are alleged to have submitted false invoices to auto insurers.

They were each charged with seven counts of knowingly making false or misleading statements to an auto insurer to obtain payment for goods and services provided to an insured and seven counts of engaging in an unfair or deceptive act or practice.

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Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.