Get to know the Insurance Council's Code of Conduct

Published November 1, 2025

As licensed professionals with the Insurance Council – insurance agents, salespersons, adjusters and their agencies and firms – are entrusted with a critical responsibility: to serve the public ethically with integrity and competence.
 
The Insurance Council's Rules and Code of Conduct establish licence conditions and restrictions and communicate standards of conduct, supporting licensees in maintaining high ethical standards and ensuring public trust in the insurance industry. These requirements in addition to those that are set out in the provincial Financial Institutions Act and other legislation are part of a licensee's duty as an insurance professional.
 

Why the Code of Conduct matters

The Code of Conduct (Code) is a foundational framework for licensees that defines the expectations for licensee conduct in insurance practice. It applies to all licensees and should be read and interpreted in the context of each licensee’s area of insurance practice and protection of public interest – Council’s primary concern. Under Council Rule 7(8), compliance with the Code of Conduct is mandatory for all licensees.
 

Key Principles of the Code

The Code is principle-based, outlining core principles and the minimum standards that every licensee must uphold. It does not describe every possible situation or prescribe every detail for how such standards must be applied and met. This empowers licensees to apply the principles to best fit their situation and ensure they can meet their regulatory requirements and responsibilities. Licensees are encouraged to go beyond the minimum standards. The Code of Conduct emphasizes:
 

• Trustworthiness: Licensees must act with honesty, integrity, and reliability in all dealings. This extends beyond insurance business activities as your conduct in other areas may reflect on your trustworthiness and call into question your suitability to hold an insurance licence.

 

• Good faith: Licensees are fiduciaries and must conduct their insurance business activities in a manner that prioritizes the client’s or principal’s best interest. Licensees also owe a duty of good faith to insurers, insureds, fellow licensees, regulatory bodies and the public.

 

• Competence: Licensees must maintain the necessary skills and knowledge to provide competent and appropriate insurance advice and services. Licensees should not undertake to perform services beyond their level of competence or that are outside of their licence conditions and restrictions.

 

• Financial reliability: Licensees must be financially reliable, and must properly safeguard and account for insurance transactions, money, property and other financial instruments and records. Clients, insureds, insurers and principals entrust licensees to facilitate and handle their insurance and financial transactions – a licensee’s reliability and financial stability in handling these is essential to their practice as a licensee.

 

• Dealing with and protecting clients: When dealing with clients, licensees must protect clients’ interests and privacy, evaluate client needs, disclose all material information and act with integrity, competence and utmost good faith. A client includes anyone who might reasonably be expected to rely on your professional advice or actions in relation to their insurance. This duty includes protecting clients’ and others’ privacy and confidentiality, and avoiding conflicts of interest.

 

• Dealing with insurers and the role of an intermediary: Licensees act as intermediaries between clients, insureds and insurers in a contractual relationship. The insurer’s ability to meet their contractual duties is based on the licensee’s honesty and competence in providing advice, information, and services, and meeting their responsibilities as an intermediary.

 

• Dealing with licensees: Licensees represent the insurance industry to the public. Treating your colleagues and the industry with courtesy and respect enhances your own reputation and the public’s confidence in the insurance industry.

 

• Dealing with the public: Licensees must honestly represent themselves, their services and the products they provide. This includes ensuring they are holding out and conducting insurance business as licensed, providing appropriate and required disclosures, not representing themselves as having specific expertise or designations unless they are suitably qualified by experience, training or both, and not engaging in misleading advertising or making false or misleading statements.

 

• Additional practice standards for insurance adjusters: Insurance adjusters play a unique role in the business of insurance and have additional duties to insurers, insureds and principals, which must be understood and met.

 

• Dealing with the Insurance Council of British Columbia and complying with governing legislation and Council Rules: Licensees must be aware of, stay up to date with, and comply with their duties and obligations under all applicable legislation, including provincial and federal legislation, and Insurance Council’s Rules and Code of Conduct. Licensees must respond promptly and honestly to inquiries and requests from the Insurance Council.

 
By adhering to the Code of Conduct, licensees are not just complying with regulation — they are demonstrating a commitment to ethical excellence and client-centered service. This approach fosters trust, enhances professional reputation, and supports a resilient insurance sector in British Columbia.

Additional Resources

The Insurance Council’s website provides resources to support licensees in understanding and meeting their regulatory requirements, which also expand on the requirements of the Insurance Council’s Rules and Code of Conduct. The Licensee Resources and Licensee Responsibilities pages of our website include resources such as compliance information, information on licensee and nominee responsibilities; practice advisory notices and guidelines; continuing education requirements; disciplinary decisions and process; and other useful information for British Columbia licensed individuals, agencies, and firms. 
 
If you have questions about your ongoing licensing, regulatory and practice requirements or are seeking practice guidance, we encourage you to contact our Practice & Quality Assurance team at practice@insurancecouncilofbc.com or 604-695-2008.