In 2018, we saw the introduction of Fair Treatment of Customers (FTC) Guidance documents by Regulators. The FTC Guidance indicates a focus by regulators on market conduct with a primary concern on how customers are being treated. This Guidance provides direction for the conduct of business and seeks to strengthen public trust and consumer confidence in the financial services provided. Some of the core expectations within these guidance documents are as follows:

• Fair treatment of Customers to be a core component of the business culture of Distribution.
• Licensees to act with due skill, care and diligence at all times when dealing with consumers.
• Licensees to promote financial services and products in a manner that is clear, fair and not misleading or false.
• Licensees to recommend products that are suitable; taking into account the consumer’s disclosed personal circumstances and financial condition.
• Customer is given appropriate information to make an informed decision before entering into a contract.
• Licensees to disclose and manage any potential or actual conflicts of interest.
• Licensees to provide continuing service and keep consumers appropriately informed.
• Licensees to have policies and procedures in place to handle complaints in a timely and fair manner.
• Protection and confidentiality of personal information: policies and procedures adopted by Distribution to ensure compliance with Privacy legislation.

HUB encourages advisor to review the FTC Guidance so you can begin initial implementation of the recommendations into your practices. 

The Canadian Council of Insurance Regulators (CCIR) and the Canadian Insurance Services Regulatory Organizations (CISRO) document entitled “Guidance: Conduct of Insurance Business and Fair Treatment of Customers” (FTC Guidance) can be found on the website:
www.ccir-ccrra.org 

Remember, 
Good Business is Compliant and Compliance Matters!