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Fall 2004 Meeting Highlights
September
23 and 24, 2004
Whitehorse, Yukon
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| Strategic
Plan |
CCIR
dedicated a portion of the agenda to reviewing the
implementation of a number of important initiatives
identified in the Strategic Plan for 2004-2006.
Members reaffirmed their
commitment to work with stakeholders in the development of
these and other initiatives that would ensure CCIR's success
in achieving its strategic priorities over the next two
years. The CCIR's priorities are to:
- Facilitate the development
and implementation of harmonized regulation while
recognizing local autonomy.
- Work towards achieving a
reduction in unnecessary regulatory burden.
- Actively collaborate with
financial services regulators and other stakeholders to
keep pace with changes in the financial marketplace.
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Risk-Based
Market Conduct Regulation
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The
Risk-Based Market Conduct Regulation Committee provided an
update on its review of risk-based regulatory models.
The Committee has conducted extensive research on various
market conduct models adopted in other jurisdictions and has
met with stakeholders who have put forward risk-based
proposals for CCIR consideration. The Committee
reported its findings to CCIR and presented various models
and approaches to risk-based market conduct
regulation. The Committee will soon be wrapping up its
research phase of the project and will be looking to consult
with stakeholders on risk-based market conduct approaches.
CCIR has posted the research paper, Risk-Based Market
Conduct Regulation a Survey of Approaches, on the
CCIR web site (www.ccir-ccrra.org). The Committee's
second research paper, The Use of Market Conduct
Examinations in the Supervision of Insurance,
will soon be available on the CCIR web site. |
Reciprocal
Licensing
Committee |
The
Reciprocal Licensing Committee, a joint committee
established by CCIR and the Canadian Insurance Services
Regulatory Organizations (CISRO), is developing a model of
reciprocity that would assist licensed agents who want to
work in more than one jurisdiction. CCIR agreed with
the Committee's recommendation of a phased in approach that
would see an increasingly greater level of harmonization and
mutual reliance regarding standards. As a starting
point, the Committee is recommending a review of a Reliance
model where a host jurisdiction would rely on most of the
requirements of the agent's home jurisdiction but could
request that the agent meet some further
jurisdiction-specific requirements.
In conjunction with this model, the Committee has also
recommended standards for continuing education and errors
and omissions insurance. These are key aspects of
licensing qualifications that if harmonized, would
facilitate the introduction of a reciprocal licensing
system. CCIR accepted the Committee's recommendations
in principle. Individual jurisdictions will now
consult with stakeholders and seek comments for further
review by CCIR. These recommendations will also be
brought forward for CISRO consideration at its next meeting,
October 4, 2004. |
| License
Considerations Committee |
CCIR
considered a model put forward by the License Considerations
Committee to permit licensed life agents to pay referral
fees to individuals who do not hold a license to sell
insurance. Under this model, contingent fees, flat and
percentage would be permitted with certain conditions that
would continue to safeguard consumers while enabling agents
to enter into networking arrangements to market their
products and services. Individual jurisdictions will
now consult with stakeholders and seek comments for further
review by CCIR. |
| Next Meeting |
The
CCIR Spring 2005 Meeting will be held on April 21 & 22
in Toronto, Ontario. |
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