Decision #45493-85Q402

File: 45493-85Q402

Compliance issue

Complaint procedures – Failure to file complaint handling procedures with Commissioner
Insurance Companies Act, ss. 165(2)(f), 486(2)

An insurance company failed to file a copy of its complaint procedures with the Commissioner as required under the Act.

Section 486 of the Insurance Companies Act provides that domestic insurance companies shall establish procedures for dealing with complaints made by persons having requested or received products or services in Canada. Section 486(2) specifies that these procedures must be filed with the Commissioner.

Compliance measure(s) taken

Letter of Reprimand^{Footnote 1}  noting one violation against the insurance company.

Compliance considerations

The insurance company was given numerous requests to file its complaint procedures and filed only after receiving the Compliance Officer’s Report, which recommended that the Commissioner take corrective action. There were no previous violations noted against the insurance company.

Corrective measures taken by financial institution

• The insurance company institution filed its complaint handling procedures.

Outcomes

Complaint handling procedures increase an insurance company’s accountability to its customers by providing consumers with a consistent process for resolving any concerns and/or complaints they may have. Having this process in place also benefits the insurance company by providing a system-wide ongoing analysis of any potential quality control issues that may need to be addressed internally and which may be detracting from customer satisfaction and business in general.