The Autorité des marchés financiers (AMF) announced that it has reached a deal with Industrial Alliance Insurance and Financial Services Inc. (TSX:IAG) over certain alleged sales violations.
The AMF says Industrial Alliance will pay $165,000 in connection with allegations that it sold student medical insurance policies through individuals that were not registered with the AMF; offering products without previously submitting the related distribution guides to the AMF; and distributing insurance policies that stated they were administered by Travel Underwriters, which was not authorized to operate as a broker in Quebec.
In addition to the monetary penalty, the regulator says that Industrial Alliance has agreed to take measures to ensure that the distribution of its policies complies with the law.
Additionally, the AMF reports that Industrial Alliance Auto and Home Insurance Inc. agreed to pay a $25,000 penalty for entering into referral agreements with automobile dealers and violating its rules regarding the sharing of commissions with non-registrants.