Consultation summary report | Financial Services Regulatory Authority of Ontario

Purpose of the Consultation

The Financial Services Regulatory Authority of Ontario (“FSRA”) held an 80-day public consultation on proposed Approach Guidance “Automobile Insurance Non-Standard Forms, Endorsements and Certificates of Insurance Approval Filing Process”. Thank you to those who provided feedback.

This guidance introduces a streamlined process that reduces regulatory burden and improves the timelines for the approval of non-standard forms and endorsements.

The consultation launched on December 8, 2021, and concluded on February 25, 2022

Stakeholder feedback and FSRA’s responses

The report below summarizes the consultation feedback and provides FSRA’s responses.

The comments received include submissions from four insurers and two industry groups who brought forth valuable insight about current practices and recommendations to further protect Ontario’s automobile insurance consumers.

The consultation confirmed support for the Guidance. FSRA amended the Guidance to address stakeholder feedback as identified in the summary below.

The submissions are posted on FSRA’s website: Consultation on Proposed Guidance for Automobile Insurance Non-Standard Forms, Endorsements and Certificates of Insurance Approval Filing Process

The following table summarizes the key themes raised during the consultation together with FSRA’s responses.

Proprietary information

Comments	FSRA’s Response
One stakeholder indicated concern around FSRA potentially publishing proprietary information that may be included in a non-standard form or endorsement. Two stakeholders welcomed the transparency around publication of non-standard forms as it may foster increased innovation and competition.	FSRA acknowledges that some non-standard forms may be unique and new in the market. FSRA may publish or require the insurer to publish an approved non-standard form in those circumstances where transparency is important to achieving desired consumer outcomes. Where the form may have broader application, FSRA may also approve the document as a standard form for use by all insurers.

Time frames for approvals

Comments	FSRA’s Response
Three stakeholders commented on the 25 business day service level to approve forms, suggesting if FSRA has not reached a decision by then, the filing should be deemed approved.	FSRA has amended the service level from 25 business days to 30 business days to have uniform service levels across all endorsement and forms filings. Within 30 business days of submission, FSRA will notify the insurer in writing of its decision to either reject or approve the filing. If the service standard is not met, FSRA will work with insurers to establish a timeline both FSRA and the insurer can commit to.

Comments

FSRA’s Response

Three stakeholders commented on the 25 business day service level to approve forms, suggesting if FSRA has not reached a decision by then, the filing should be deemed approved.

FSRA has amended the service level from 25 business days to 30 business days to have uniform service levels across all endorsement and forms filings.
Within 30 business days of submission, FSRA will notify the insurer in writing of its decision to either reject or approve the filing. If the service standard is not met, FSRA will work with insurers to establish a timeline both FSRA and the insurer can commit to.

FSRA has made the following amendments to the Guidance:

amend service level from 25 business days to 30 business days to have uniform service levels across all endorsement and forms filings