In This Issue
Industry Updates
- Auto Reform Optionality
- RIBO Explores AI Innovation in Ontario’s Insurance Industry
News You Can Use
- Level 1 Competency Profile and Blueprint
- What to Expect During a Spot Check
- How Principal Brokers Can Help Avoid Licensing Delays
- Case Study
RIBO Updates
- Patrick Ballantyne to Retire as RIBO CEO
- Council Update
- 2024 RIBO Award Recipients
- Closed for the Holidays
Auto Reform Optionality
RIBO, the Ministry of Finance, and the Financial Services Regulatory Authority of Ontario (FSRA) have been consulting with key industry stakeholders to prepare for upcoming changes in auto insurance that take effect on July 1, 2026.
These changes aim to offer greater choice to consumers through increased optionality. Stakeholder feedback received to date demonstrates the broker industry’s commitment to ensure a successful transition for consumers when the auto reforms begin.
An industry working group for auto reform implementation, including representatives from RIBO and key industry stakeholders will soon be launched. Further details about the new working group will be shared in the coming weeks.
Find out more by reading our auto reform web post.
Closed for the Holidays
For the winter holidays, RIBO will be closed from December 24, 2024 until January 1, 2025.
Our staff will return, ready to assist you, on January 2, 2025.
From January 2 until February 28, 2025, RIBO staff will be working remotely due to office repairs and minor renovations.
RIBO Explores AI Innovation in Ontario’s Insurance Industry
Artificial Intelligence (AI) tools pose opportunities and risks within the insurance sector.
To better understand these implications, RIBO commissioned the Behavioural Insights Team (BIT) to conduct a comprehensive study on the role of AI in the sector and its alignment with RIBO’s mandate. In Summer 2024, BIT completed an extensive review, which included:
- A scan of relevant reports and articles from regulators, academics, and industry participants.
- Interviews with Ontario-based brokers to gain on-the-ground insights.
In addition to BIT’s research, RIBO conducted supplementary interviews with brokers representing small and medium-sized businesses, including independent and insurer-owned brokers. To further validate the findings, RIBO engaged with other industry participants including other regulators and technology vendors, which provided valuable perspectives on AI innovation and its challenges.
Through this research, RIBO has developed a deeper understanding of AI’s impact on the sector. This includes evaluating the resilience of the existing Code of Conduct to address the new regulatory challenges posed by AI. The findings will guide RIBO in developing future regulatory strategies that uphold consumer protection and ensure responsible innovation.
To learn more about the insights gained through this research, explore the report with full findings.
On December 13, as part of the Future of Insurance Canada 2024 event at the Sheraton Centre in Toronto, Jessica Harper, RIBO Director of Policy, Licensing & Standards and Behavioural Insights Team Director Sasha Tregebov will speak about building trust in the AI-driven insurance era. Harper will also be part of a speaker Q&A about the growth opportunities with partnerships. Learn more and register to attend by visiting the Thomson Reuters website.
Level 1 Competency Profile and Blueprint
The Level 1 Entry-Level Broker Exam Competency Profile and Blueprint, effective January 1, 2025, marks a significant step forward in setting new standards for RIBO’s examination process. This updated framework, introduced in October 2023, follows a year of successful piloting of new exam questions throughout 2024.
Learn about the key changes, question piloting and more.
Patrick Ballantyne to Retire as RIBO CEO
RIBO CEO Patrick Ballantyne has announced his intention to retire from the role, effective June 30, 2025, after more than 20 years of service with RIBO.
Ballantyne remarked, “I am grateful to the team we have assembled and to the numerous members of RIBO Councils I have had the privilege of working with over the years. They have challenged me to continuously innovate and elevate RIBO as a modern self-regulatory organization that protects the Ontario public.”
Read about how RIBO has undergone a transformative modernization under Ballantyne’s leadership.
What to Expect During a Spot Check
Spot Checks are an integral part of RIBO’s public protection mandate, as they involve a review of a brokerage’s operations and financial records to ensure compliance with the RIB Act, Regulation 991 and other applicable by-laws and guidelines.
If a brokerage has been selected for a Spot Check, a RIBO auditor will call to inform the Principal Broker and explain the process. After the call, the Principal Broker will receive an email with links to modules they must complete by a deadline.
Typically, there are several modules to be completed, and each covers a specific area within a firm. Some examples include office processes, financials, records and disclosure.
Sometimes, auditors may also conduct an on-site brokerage visit to meet the Principal Broker in person and to collect additional documents and information.
After the Principal Broker has submitted all the completed modules, the auditor reviews the information. They may request more information and/or require firms to complete additional modules. Generally, auditors will request a meeting with each Principal Broker to discuss the Spot Check.
Firms will be informed in writing of the Spot Check outcome. Where appropriate, auditors will work with brokerages to resolve minor deficiencies. Spot Checks that raise any serious regulatory issues that are deemed to be a high risk to the public will be referred to the Investigations Department.
How Principal Brokers Can Help Avoid Licensing Delays
Did you know that when applications are carefully completed and are not missing information, applications can be processed in 10 business days or less?
We have noticed that over 50% of applications are incomplete. This creates delays due to the need for sometimes multiple follow-ups, which in turn results in longer wait times for all applicants.
We remind Principal Brokers that you are required to sign completed employment forms within 10 business days of the application date. When doing so, please ensure that the remote work location section is carefully filled out to avoid unnecessary delays. Thank you for your cooperation.
Case Study
As a licensee, you must follow many rules, guidelines, and requirements to remain in good standing and retain your ability to be a licensed broker.
This series is based on anonymized situations about brokers (and those hoping to become licensed) who were alleged to have breached these rules and guidelines and therefore became the subjects of investigations. The cases are examples of some of these situations. We share them to illustrate the types of conduct you should avoid and the associated consequences.
Amelia applied for a Level 1 RIBO license. She disclosed that, when she was previously a licensed life insurance agent, she had been dismissed from a company due to her connection with third parties who charged unauthorized fees to her clients to obtain insurance.
Although Amelia’s life insurance license was not revoked or subject to discipline, RIBO referred her application to the Qualification and Registration Committee for a suitability review.
After considering the case, the Committee refused her application because Amelia did not meet the Regulation 991 requirements made under the Registered Insurance Brokers Act that underscores the importance of good character and carrying on business with integrity and honesty. The lapse in ethical behaviour raised concerns about Amelia’s character and her ability to act as an insurance broker.
When her application was rejected, Amelia requested a hearing. A panel reviewed the application and concluded that, although she may not have been deemed suitable to be licensed in the past, they reviewed submissions throughout the hearing and found that there was enough evidence to prove her good character to qualify for licensing as an insurance broker.
To protect the public and to ensure that Amelia understood her duties as a broker, she was required to:
- Complete a Level 1 licensing course, the RIBO Level 1 exam and an ethics course
- Restrict her from applying for a Level 3 license for 4 years
- Notify new employers of this matter
- Require the Principal Broker to submit reports to RIBO regarding Amelia’s conduct
RIBO looks at multiple factors when reviewing an applicant’s suitability beyond past criminal records and previous regulatory actions. Good character plays a crucial role in evaluating an applicant’s eligibility. This ensures that individuals who enter the profession will demonstrate the ethical behaviour that RIBO expects of all licensees.
The good character requirement continues to apply, even after getting licensed. RIBO encourages all licensees to complete ethic courses regularly to ensure they are well educated about duties and obligations.
View the list of available ethics courses on our Continuing Education Course List webpage.
2024 RIBO Award Recipients
RIBO recognizes outstanding achievement annually by honouring recipients who received the highest examination marks with the Christopher J. Ward and Donald W. Lambie Awards.
The recipient of the Chris Ward Memorial Award is Rebekah Schinkel.
There was a three-way tie for the Donald W. Lambie Award. The recipients are Lei Miao, Juan Du and Amarjot Kang.
Congratulations to our award recipients!
Council Update
On November 7, 2024, we held RIBO’s 43rd Annual General Meeting marking the start and end of the terms for some of our Council Members.
We extend our sincere gratitude to outgoing members Hugh Fardy and Brent Stefan for their service, and welcome incoming and re-elected members Melissa Bajwa, Chris Cosack, Alyssa Keyes, and Attia Momin. We look forward to continuing to strengthen RIBO’s impact in the Ontario regulatory landscape with these talented individuals.
Online Broker Services
- Principal Brokers can provide firm-related updates online using our Principal Broker Menu.
- Staff lists and license restriction levels are available in IRIS.
Helpful Resources
- Recently Approved Continuing Education Courses
- Recent Regulatory Decisions
- Latest Additions and Deletions to the RIBO Register
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