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The insurers responsible for communications issued by their distributors in their name, warn lawyers


Hubert Roy

June 30, 2017 06:30

Jean-François Gagnon and Simon Chénard

Jean-François Gagnon and Simon Chénard, respectively partner and lawyer at Langlois Lawyers, are formal. Insurers must ensure the conformity of electronic communications issued by their distributors on their behalf.

«The insurer should ensure that these communications are consistent with the provisions of the anti-spam law. That doesn’t mean they have to approve the messages that the broker-dealers, financial advisors or general agents may be using their brand image. They must ensure, however, that the distribution of the messages that they are doing in their name meets the same standards and controls that they have adopted to comply with the provisions of the anti-spam law. The message must be formatted to conform to the law, » says Mr. Gagnon.

He added that the management of these provisions is similar to the compliance guidelines that insurers outsource to distributors. All of this is required by thefinancial markets Authority and the Office of the superintendent of financial institutions.

In regards to the anti-spam law, the two lawyers noted that the liability of the insurer in respect of its distributor begins at the time a sale is made. It has no impact in the solicitation that the agent made, they say.

«The broker who deals with multiple insurers, and that will in the market will not have to worry about when its solicitation to comply with the practices of insurers in which it offers products. It is another thing for exclusive agents. In their case, distance does not exist, and this, even if in principle, they are self-contained, » says Mr. Gagnon.

All must be tagged in the agency contract that the agent has with his or her insurer ? Yes, believe the lawyers of Langlois. «It should be ensured in the following that the communication mode is correct. The industry will be well advised to revisit his contracts of agency, having regard to the anti-spam law «, said Mr. Gagnon.

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