Terms of Reference

Introduction

The Financial Services Regulatory Authority (FSRA) plans to develop a proposed regulatory framework and supervisory approach for distribution channels that rely on Managing General Agents (MGAs). The Life and Health Insurance Technical Advisory Committee on Distribution Channels (Committee) will assist FSRA to develop better processes, guidance and approaches in regulating the insurance sector.

TACs are different from Stakeholder Advisory Committees (SACs). Technical advisory groups and committees provide advice, input and feedback to FSRA management on matters related to the Rules of Practice and Procedure, Filing Requirements, Guidelines, operational policies and other matters. SACs serve as consultation bodies to the FSRA Board on FSRA's priorities and budget and other matters as the Board deems appropriate. 

Mandate

FSRA is establishing the Committee to provide technical input and expert advice to FSRA from an industry perspective regarding trends and issues related to MGAs.

The Committee will also provide advice on emerging topics in life and health insurance distribution that could impact consumer protection/confidence.

Committee Membership

Nomination Process

To apply, send the following to Swati.Agrawal@fsrao.ca no later than October 26, 2020:

  • Your current resume
  • A cover letter describing your interest in the Advisory Committee and how your experience aligns with the member qualifications outlined below

 

Appointments

FSRA will appoint members based on the skills and experience of the nominees, with an emphasis on ensuring adequate diversity by organization size.

Committee Size

FSRA is seeking 10 – 14 members for the Committee (not including FSRA participants). FSRA may choose to add or remove a member at any time.

Member Qualifications

Committee members will comprise extensive professional experience:

  • in life and health insurance distribution, particularly in independent channels using MGAs, and/or
  • as representatives of insurers that represent a large portion of the life and health insurance market

Committee members will represent:

  • life and health insurance agents and/or brokers
  • life and health insurers
  • life and health insurance industry associations

Organizations cannot have more than one representative as a member at any time. However, if a representative is unable to attend a Committee meeting, the representative can send a delegate to attend. 

Member Responsibilities

FSRA expects members to:

  • review background material prepared for meetings
  • provide advice, proposals and feedback to FSRA
  • use best efforts, where possible, to develop consensus
  • provide feedback to FSRA on the functioning of the Committee.

FSRA Members

FSRA’s Head, Insurance Conduct will chair the Committee.

Committee Outcomes

The Committee will provide, for FSRA’s consideration, advice and recommendations that may or may not result in action or policy change.

The Committee will provide advice and recommendations on:

  • FSRA rule-making, policy initiatives and business planning related to life and health insurance distribution;
  • a proposed regulatory framework, which may include advice for government consideration;
  • FSRA’s overall strategy and implementation of its supervisory approach for distribution channels that rely on MGAs; and
  • emerging trends and issues that may impact consumer protection in life and health insurance distribution.

Confidentiality

The Freedom of Information and Protection of Privacy Act, R.S.O. 1990, c.F.31, as amended, will generally apply to information provided to the Committee and to material prepared by or for the Committee.

Members of the Committee can obtain assistance from co-workers or industry collaborators. However, until the Committee’s mandate is complete, Committee members and those that assist them must maintain confidentiality (except in regards to information made public by FSRA). Once the Committee’s mandate is complete, a Committee member may communicate his or her views concerning the work of the Committee.

Meetings, Agendas and Deliverables

The Committee is expected to hold meetings on at least a semi-annual basis. Individual working groups within the Committee are expected to meet quarterly, or more frequently based on need. Meetings will be held by videoconference, teleconference or in person where appropriate.

FSRA will provide meeting agendas and related materials at least one week before each regular meeting. FSRA will also prepare and distribute meeting summaries and any accompanying written submissions, to Committee members no later than three weeks following a meeting. FSRA also intends to publish a high-level summary of the Committee’s work on FSRA’s website.