Role of Government

Question 1

Role of both governments

Answer 1

• Supervised and regulated by both
• Ensure insurance companies financially competent to discharge their obligations
• ensure forms of contracts drafted fairly
• Ensure business is conducted to the general benefit of the public

Question 2

Federal Government

Answer 2

• Division of the minister of finance
• Provides licensing to insurers operating in Canada
• Insurers must meet struct financial standards established by Office of the Superintendent of Financial Institutions
• Ongoing monitoring of insurers to ensure solvency and financial stability
• Ensure that insurance companies maintain enough capacity for the risks they take on
• Reserve accounts
• Supervise provincial branch

Question 3

Provincial Government

Answer 3

• Regulators
• Superintendent of Insurance responsible for administering Insurance act
• Supervise terms and conditions of insurance contracts
• Licensing of insurers, agents, brokers and adjustors
• Monitoring the solvency of provincially licensed insurers
• Monitors adherence to code of conduct

-Councils;
Alberta Insurance Council;
-Financial arm
-Investigation, administrative and support services to other councils
-Administrative services to the continuing education accreditation committee appointed by Minister of Fiance

Insurance Adjustors Council, General Insurance council, Life insurance council
-Regulator bodies responsible for licensing and discipline of insurance agents, brokers, and adjustors