The Financial Services Regulatory Authority of Ontario (FSRA) is seeking industry input on enhancing the regulation of segregated funds, and supervising firms in the managing general agency (MGA) channel.
The provincial regulator announced the formation of two new technical advisory committees that will provide it with industry feedback on enhancing aspects of conduct regulation in the life insurance sector.
Specifically, the two new advisory committees will provide FSRA with feedback on “potential frameworks for regulating and supervising distribution channels that rely on [MGAs],” it said, and better regulation of segregated funds.
Among other things, the segregated fund committee will examine cost and investment performance disclosure, dealer and advisor compensation, and developments from the mutual fund sector, such as the Canadian Securities Administrators’ client-focused reforms.
In terms of MGA channel regulation, the committee will consider a variety of distribution issues, along with emerging trends and issues affecting consumer protection in the sale of life and health insurance.
The committees will include life and health insurance agents and/or brokers, seg fund issuers and industry trade groups.
Applications are due by Oct. 26.