Canadian insurance regulators consult on consolidated segregated funds guidance
Published February 4, 2025
Canada’s insurance regulators have released proposed guidance on consolidated segregated funds for 90-day public consultation, ending in April. The guidance is intended to create a consistent national standard for insurers and intermediaries, for implementation in each jurisdiction.
Produced by the Canadian Council of Insurance Regulators (CCIR) and the Canadian Insurance Services Regulatory Organizations (CISRO), the draft guidance document sets out expectations for insurers and intermediaries on the design, sale and servicing of individual variable insurance contracts (IVICs), which are also known as individual segregated fund contracts.
The proposed guidance outlines various expectations for insurers and intermediaries, including those regarding:
- Understanding products, investment strategies and customers’ needs
- Compensation, including chargeback arrangements
- Advertising of IVICs
- Recommendations and advice provided by intermediaries.
CCIR and CISRO is inviting review and comment on the
CCIR/CISRO Consolidated Segregated Funds Guidance,
available online through their respective websites. Written submissions can be provided to the CCIR Secretariat at
ccir-ccrra@fsrao.ca by April 8, 2025.
CCIR is the national association for insurance regulators in Canada.
CISRO is the national association of provincial and territorial regulators of insurance intermediaries, which includes the Insurance Council of BC.