Recently, in an amendment to the SGI Act that passed along with The Insurance Act (hereinafter, the ‘Act’), SGI CANADA was exempted from compliance with the Act except as specified in regulations to the SGI Act.
IBAS shares the insurance industry’s belief that SGI CANADA’s operations must fully comply with the Act, other than those sections relating to financial and corporate oversight (generally, Part II and Part III). SGI CANADA’s policyholders and brokers in Saskatchewan should have:
- The same protection as its customers in other provinces, where SGI CANADA complies with very similar Act provisions;
- The same protection other insurers must give in areas of market conduct and fair practices;
- Policy provisions and statutory conditions identical to the minimums established in the Act for other insurers;
- Access to complaints resolution services provided by insurance industry mediators and regulating bodies; and
- Assurance that those selling its products are licensed and qualified.
We understand SGI Act regulations are being drafted and that SGI CANADA, for the most part, agrees with these concepts. IBAS, though, remains concerned about any exception to the basic consumer protections of the Act, as well as the general concept that an insurer may choose which portions of the Act it wishes to comply with.