alberta insurance council stakeholder information session 2017 · errors & omissions insurance...
TRANSCRIPT
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Alberta Insurance CouncilStakeholder Information Session
2017
May 18 - EdmontonMay 25 - Calgary
Follow AIC on TWITTER @AbCouncil
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1. Overview of Insurance Councils
2. Review of Annual Report and Financial Statements of the AIC for the year ended December 31, 2016
3. 2016 Highlights
4. Proposed Regulatory Amendments
•Insurance Agents and Adjusters Regulation
•Certificate Expiry, Penalties and Fees Regulation
5. 2017 Objectives
6. Renewal Demo
7. Question and Answer Period
AGENDA
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General Insurance
Council
(8)
Life Insurance
Council
(6)
Insurance Adjusters’
Council
(4)
Alberta Insurance
Council
(5)
Council Structure
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2016 Certificates of Authority
• Life Insurance Council 35,764
• General Insurance Council 15,655
• Insurance Adjusters’ Council 1,941
53,360
30% of these certificates are held by non-residents
LIC
GIC
IAC
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Certificates of Authority
2016 2015 2014 2013
Life Insurance Council 35,764 33,165 29,833 28,474
General Insurance Council
15,655 14,616 13,475 12,760
Insurance Adjusters’ Council
1,941 1,450 1,407 1,366
TOTAL 53,360 49,231 44,715 42,600
• 8% increase in Certificates from 2015-2016
• 25% increase in Certificates from 2013-2016
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2016 ExaminationsLIC
Module # Administered Pass Rate
Ethics & Professional Practice 2,889 89%
Ethics & Professional Practice (Quebec) 45 76%
Life Insurance 2,605 79%
Accident & Sickness Insurance 2,937 85%
Segregated Funds & Annuities 2,722 74%
Total Modules 11,208
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2016 ExaminationsGIC
# Administered Pass Rate
Level 1 1,999 37%
Level 2 715 22%
Level 3 104 23%
IAC
Level 1 141 49%
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Compliance Activity
New Complaints
Life Insurance Council2016
1722015
1042014
73
General Insurance Council 117 66 75
Adjusters’ Council 9 8 19
Best Practice Reviews
25 meetings with 207 Certificate
Holders 41 24
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Compliance Audits
Errors & Omissions Insurance
44 insurers provided information for 536 licensees
1% non-compliance
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Compliance Audits
Continuing Education
Audit candidates randomly selected from list of those agents renewing in the last week of renewal period (June 30)
150 audit candidates selected 62 suspended for failure to respond 27 licensees cautioned for late compliance
Audits will continue on an ongoing basis
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2016 Financial Statements Highlights
• AIC funded entirely by insurance industry through license, assessment, examination, and continuing education accreditation fees
• No taxpayer dollars fund AIC operations
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2016 Financial Statements Highlights (cont’d)
2016 Revenue (all sources) 6,235,668
2016 Manpower 3,033,734
2016 Operations 2,350,582
2016 Revenue over Expenditures 851,352
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2016 AIC Revenues and Expenditures
2016 2015
Revenue 6,235,668 6,133,615
Expenditures 5,384,316 5,384,743
Net Assets 4,990,736 4,139,384
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License FeesAgents and Adjusters
• AIC fees last reviewed 2004
• AIC 2015 Budget included a 5% reduction in expenditures over 2014
• AIC 2016 Budget included a 2% reduction in expenditures over 2015
• No fee increases are planned in 2017. Volume increases and expense restraints
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Net Asset Study
• Recommends 1 year Operating Costs retained
• 2016 Operating Costs $5.4 million
• Accumulated Net Assets $4.9 million
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Proposed Regulatory Amendment
• Certificate Expiry, Penalties and Fees Regulation
• Insurance Agents and Adjusters Regulation
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2016 AIC Highlights
• National modularized LLQP implemented January 1, 2016
• New General Level 1 exams implemented January 2016
• New General Level 2 exams implemented July 2016
• General Level 3 curriculum finalized. New examinations developed for 2017 Q1 implementation
• Website redesign completed
• Audit program initiated:
Continuing Education
E&O Insurance
• Renewal focus groups conducted and systems adapted
• Renewal of 54,000 Certificates commencing May 1
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2017 Objectives
• Review of classes of insurance sold under Restricted Certificates of Authority (Travel)
• Review of Audit process to improve accuracy and efficiency
• AIC will continue to pursue regulatory amendments:
o Insurance Agents and Adjusters Regulation
o Certificate Expiry, Penalties and Fees Regulation
• Finalize online applications for all stakeholders
• AIC will finalize 2017-2022 Strategic Plan
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Stakeholder Meeting Administration
• CE credits added within three (3) business days
• A survey will be sent to all participants by June 9 –We want to hear from you!
• This presentation will be added to the website by June 15
• Renewal demo is up next
• Renewals close June 30
• Follow us on Twitter @AbCouncil
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Q & A
QUESTIONS?
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2017 Alberta Insurance CouncilLicense Renewal Process
Presented by: Janice Janz, Licensing Officer
May 18 - EdmontonMay 25 - Calgary
Follow AIC on TWITTER @AbCouncil
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Logging In
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Logging In
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Reset Password
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What’s My CIPR #?
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Continuing Education Credits
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Continuing Education Credits
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Updating Continuing Education Credits
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Completing Continuing Education Update
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Choose License to Renew
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Renew!
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Step 1
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Step 2: Confirm Address(es)
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Step 3: Errors & Omissions
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Step 4: Answer Questions & Declarations
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Step 5: Pay
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Payment Processing
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Payment Confirmed
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Alberta Is Not My Home Jurisdiction
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Alberta Is Not My Home Jurisdiction
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How to Print My Certificate of Authority
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How to Print My Certificate of Authority
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How to Print My Certificate of Authority
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How To Print My Certificate of Authority
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What If I Can’t Remember All of THIS?
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Frequently Asked Questions
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Frequently Asked Questions
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Frequently Asked Questions
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Frequently Asked Questions
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Frequently Asked Questions
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@AbCouncil
Follow us on TWITTER
@AbCouncil
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Q & A
QUESTIONS?