As an advisor you are required to comply with numerous regulatory and industry standards in the course of operating your practice. It is critical for you, your clients and Empire Life that you operate your practice in a compliant manner. The material and links in this section have been included to assist you with your compliance responsibilities. However, the materials and information are not inclusive and it is your responsibility to keep abreast of all regulatory requirements and ensure your practice includes up-to-date compliant practices.
Code of Conduct
Outline what Empire Life expects of our Distribution Partners when dealing with customers
The Best Practices Handbook
is a compilation of rules, procedures and guidelines relating to distribution compliance and market conduct.
Compliance – The Approach
"Serving clients through needs–based sales practices". This industry initiative summary outlines six elements of needs-based selling that should be used to assess and reinforce your own sales practices.
Reference Information
- The Approach: Serving the Client Through Needs-Based Sales Practices
- Financial Needs Analysis Worksheet
- Life Insurance Needs Summary
- Sample Reason Why Letter
- Letter of Engagement
Needs-Based Sales Practices for IVICs
This CLHIA reference document includes a section for advisors which is intended to expand on and provide practical guidance in the area of Individual Variable Insurance Contracts (IVICs) and how “The Approach” should be applied.
Advisor Disclosure
At Empire Life, we believe that full written disclosure to clients is an important business practice that all advisors should follow. This section provides the Empire Life communications on Advisor Disclosure, reference materials and sample letters for your use.
Reference Information
Fronting
If two advisors are working together, both advisors must be coded with Empire Life and disclose on the application for insurance. Fronting occurs when an advisor who was not involved in the completion of the sales transaction with the client, signs the application as the soliciting advisor.
Circulars
Anti-Money Laundering and Terrorist Financing
The Proceeds of Crime (Money Laundering) and Terrorist Financing Act was introduced to aid in the detecting and deterring of money laundering and the financing of terrorist activities. Advisors, as well as insurance companies, have certain responsibilities including, but not limited to: maintaining client information records, verifying identity of the owner, verifying any third party where the transaction is being made on behalf of a third party, reporting possession of terrorist property and reporting suspicious transactions.
Reference Information
- AML/ATF Modules to include Amendments to Canada`s Anti- Money Laundering and Anti-Terrorist Financing Legislation effective June 1, 2021
- New tools from FINTRAC to assist in meeting regulatory obligations
- Anti-Money Laundering & Anti-Terrorist Financing (AML/ATF) Module with Templates
- FINTRAC Guidance and resources for businesses
- Information Circular 2017-12 Amendments to Canada’s Anti-Money Laundering and Anti-Terrorist Financing Legislation
Fair Treatment of Customers
The focus on fair treatment of customer continues to be a top priority for the insurance industry. Treating customers fairly means conducting business ethically and ensuring a culture that places the interest of the consumer at the center of all business decisions.
Reference Information
- Fair Treatment of Customers Reference document
- Guidance: Conduct of Insurance Business and Fair Treatment of Customer (CCIR/CISRO)
- Treating Financial Services Consumers Fairly Guideline (FSCO)
- Adoption of CCIR / CISRO Fair Treatment of Customers Guidance (AIC)
- Sound Commercial Practices Guideline (AMF)
Professional Titles
To strengthen consumer protection, more regulators are introducing title protection rules. These rules are being introduced to promote consistency and professionalism. It is important that you understand the title requirements for the jurisdictions you are licensed in. Please refer to your provincial regulator’s website(s) for more detailed information on your requirements.
Reference Information
- Professional Titles Reference document
- Financial Professionals Title Protection Act (FPTPA)
- Act respecting the distribution of financial products and services
Protecting Vulnerable Clients
The Autorité des marchés financiers (AMF) recently released A practical guide for the financial services industry – Protecting vulnerable clients. This guide outlines possible courses of action to follow to help clients protect themselves if circumstances make them vulnerable or to assist them in dealing with situations regarding their financial well-being.
Reference Information
Corporate Errors and Omissions Insurance
Empire Life has always been a strong believer in E&O insurance for those working in our industry. This document provides clarification on corporate coverage requirements from Empire Life and the industry.
Circulars
Privacy
The protection of personal information is an integral part of doing business at Empire Life. Protecting personal information is important to us and this policy sets out how we collect and manage personal information in a manner that protects the personal privacy of our clients, contractors and employees.
Reference Information
- Privacy Statement and Consent Template
- Privacy Policy
- Build a Privacy Plan
- Guidelines for Meaningful Consent
Privacy Breach
A privacy breach is the loss of, unauthorized access to, or disclosure of, personal information. Some of the most common privacy breaches happen when personal information is stolen, lost or mistakenly shared.
Reference Information
Privacy Breach Procedure Template
Policy Replacement
Replacement disclosure is required when a customer is considering the purchase of a new life insurance contract that will replace an existing or recently lapsed or surrendered contract.
Life Insurance Replacement Declaration
Quebec Notice of Replacement of Insurance
Guide to preparing an LIRD
Canada’s new anti-spam legislation
The Government of Canada introduced the Anti-Spam Legislation (CASL) to helps protect Canadians while ensuring that businesses can continue to compete in the global marketplace.
Reference information
The Foreign Account Tax Compliance Act (FATCA)
The Foreign Account Tax Compliance Act (FATCA) is U.S. tax legislation enacted in 2010 to better detect tax evasion by U.S. persons living worldwide with financial accounts at non-U.S. financial institutions. Effective July 1, 2014, Canadian financial institutions are required to collect information to report to the Canada Revenue Agency on certain financial accounts held in Canada by U.S.persons.
Reference information
- Empire Life - Information Circular - FATCA (CIRE 2014-18)
- Information for Clients on the Canada-U.S. Information Exchange Agreement to Improve Cross-Border Tax Compliance
This document should not be construed as providing tax, legal or financial advice.
Enhanced Financial Account Information Reporting
Enhanced Financial Account Information Reporting is a requirement under Canadian law which obligates financial institutions to provide certain information to the Canada Revenue Agency (CRA), which in turn transfers that information to:
- The US as a result of US law commonly know as FATCA
- Other countries as a result of Canada’s adoption of the Common Reporting Standard (CRS)
Reference information
Sponsorship
Many provincial insurance regulators require advisors to be sponsored by an insurance company under certain circumstances. This comes with many obligations on the part of insurance companies.
Circulars
- Sponsorship Criteria & Requirements Information Circular
- Request for Sponsorship
- Saskatchewan Sponsorship
National Do Not Call List
Due to amendments to the federal Telecommunications Act, the Canadian Radio-television and Telecommunications Commission (CRTC) has introduced new and revised telecommunications rules and the National Do Not Call List (NDNCL).
Presentation
Circulars
Reference documents
To ensure you fully understand your obligations under this new law, please go to http://www.crtc.gc.ca for a complete copy of the Act.
Complaint Handling
Advisors should have a documented complaint handling policy in place to ensure complaints are handled in a fair and timely manner. Having a documented complaint handling policy is an industry requirement and a mandatory requirement for advisors licensed in Quebec.
Reference information
- Advisor Complaint Handling Policy Reference document
- Complaint handling template
- Complaint handling (Specific to Quebec) template
- Guidance: Conduct of Insurance Business and Fair Treatment of Customer (CCIR/CISRO)
- Treating Financial Services Consumers Fairly Guidelines (FSCO)
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