New Course – Relations Between Brokers and Insurers

New Course – Relations Between Brokers and Insurers

Brokerages often regard themselves as being independent of insurance companies…

Yet their very existence depends upon the insurance company that assumes the risks represented by the policies the broker sells. This tie, in which the broker is the intermediary between the consumer/client and the insurance company, is articulated in the agreements forged between the two entities. Upon completion of this course you will have a strong understanding of the elements of broker agreements.



Access Duration from the Date of Purchase: 6 months
Credit Hours: 2
Credit Type: General/Adjuster – Technical and RIBO Management
Credit #: AIC #48002; MB#30087
Accrediting Provinces: BC, AB, SK, MB, ON



Once the scouting and mutual appraisals are completed between insurers and brokers, they enter into a formal agreement with one another. The agreement is the document, but the vital component of the connection is a relationship. When the relationship is strong one, and a “good fit” it can result in a satisfactory and profitable partnership. Good relationships, built on trust and commitment, require fluid and precise communication. Both parties need a clear understanding of their terms of relationship and a means of resolving any issues that might arise.

The Formal Agreement

Particular items are included in formal agreements between Insurers and brokers. These items are identified and explained below.


Table of contents for Broker Agreements

Identification of Parties and Date of Agreement

Definition of Specific Terms in Agreement

Item 1 Contract Term

Item 2 Restrictive Covenants

Item 3 Broker’s Responsibilities

Item 4 Limitation of the Broker’s authority

Item 5 Expirations and Portfolio Ownership

Item 6 Broker’s Remuneration

Item 7 Direct Billed Policies

Item 8 Broker Billed Policies

Item 9 Hold Harmless Clause

Item 10 Contract Assignment

Item 11 Restoration of Broker-Company Relationship

Item 12 Termination

Item 13 Restricted Brokerage Agreement

Item 14 Dispute Resolution

Item 15 Miscellaneous

Item 16 Electronic Interface

Item 17 Confidentiality and Privacy

Item 18 Contingent Commissions

Signature Page

Name of Insurance Company

Address of Insurance Company

This agreement entered into ________________________ , 20_____

Between: The ABC Insurance Company of Canada (“the Company”) and XYZ Broker (“the Broker” – Address of the Broker)

witnesses that in consideration of the mutual covenants of the parties herein contained, the parties hereto agree as follows:

Definition of Specific Terms in Agreement

The following definitions apply to all Broker Agreement documents.

  1. i) Company

The Company is the undersigned insurance company or companies.

  1. ii) Broker

The “Broker,” or “you” and “your” means the Broker/Brokerage and/or its employees. The Broker is the undersigned person, and may be the authorized individual or legally authorized person representing a partnership or corporation.

iii) Binder

The binder is the temporary agreement that will provide insurance coverage until the policy can be produced and delivered.

  1. iv) Policy

The term “policy’ refers to the written contract of insurance.

  1. v) Double Registered Mail

Double registered mail is a form of registered mail providing the sender with a confirmation when the documents are delivered to the addressee or another person on behalf of the addressee.

Items in the Broker Agreement

  1. Contract Term

The agreement will state the period of the time the contract covers, unless terminated earlier.

Termination of the contract term is subject to the provisions outlined in Item 11. The recommended time frame for termination is generally a period of 180 days.

  1. Restrictive Covenants

A covenant is an agreement. It will become the responsibility of the Broker to ensure the various covenants in the Broker Agreement will apply to all the staff and brokers employed by the party signing the contract. The covenants must be reasonable in order to be legally enforceable.

  1. Broker’s Responsibilities

This item will outline in detail the authority of the Broker and will make reference specific responsibilities of the broker. Examples of the type and variety of authority and responsibilities are shown as follows:

  • To solicit applications for insurance contracts.
  • To transfer to the Company monies collected; all premiums or other amounts payable in respect of the Contract established under the terms that apply.
  • To obtain and renew the licenses required to sell insurance.
  • To maintain errors and omissions insurance as required.
  • To be responsible for the actions and behaviour of employees and representatives and their training, including the monitoring and supervising of their activities at the brokerage’s own cost and expense.
  • To conduct the business activities of the Brokerage in accordance with the highest ethical standards and comply with all federal and provincial laws.
  • To observe and respect the Company’s Code of Ethics.
  • To observe and respect the Company’s instructions, rules and regulations as they relate to the customer services activities provided to clients.
  • To agree to attend the informational and training sessions offered by the Company that deal with its Code of Ethics, Policies and procedures and/or other matters of importance relating to compliance and market conduct matters.
  • To deliver to the Company without delay all applications, binders, changes, cancellations, policies and endorsements received.
  • To maintain proper and accurate accounts of all the transactions that relate to the Company and agree to provide these to the company upon their request.
  • To deliver to the Company without delay any and all claims or complaints the Broker is made aware of that relate to the Company or products/services it provides.
  • To deliver to the Company without delay upon request any property, including computers and software, manuals, forms and material that has been supplied by the company.
  • To repay any remuneration to the Company that belongs to it as defined by the terms of this agreement.
  • To communicate requests to cancel policies and binders where it is legally permissible to do so.
  • To sign policies of insurance on behalf of the Company.
  • To obtain the company’s prior written permission to use its name in advertisements and marketing.
  • To permit the Company or its representatives to visit the Broker during normal business hours in order to examine the business of the Broker and its records that pertain to the Company.
  • To comply with all regulations stipulated by the Company and government authorities for preventing money laundering activities.
  • To treat all personal information gathered in such a way as to comply with the Company’s confidentiality policies.
  • To handle all personal information gathered in such a way as to comply with federal and provincial Privacy Laws.
  1. Limitation of the Broker’s authority

The Broker’s authority is limited by the terms expressed herein. Without limiting the generality of what has just been stated, it is agreed the Broker does not have the authority to do any of the following:

  1. a) To incur liability, debt, expenses, or any similar liability on behalf of the Company.
  2. b) To create, change or cancel contracts on behalf of the Company,
  3. c) To waive forfeiture rights or bind the Company in any form to terms not specifically authorized in writing by a duly authorized representative of the Company.
  4. d) To alter or adjust any premium rate circulated by the Company.
  5. e) To rebate all or any portion of a premium paid.
  6. f) To begin or threaten to begin any legal action against a third party with respect to any matter emerging from, or associated with the actions of the Broker as they pertain to the Company.
  7. e) To allocate to others the rights or benefits contained in this Agreement.
  8. f) To create, copy, use or otherwise allow to be circulated or displayed any marketing, advertisement, brochure, product illustration or other material related to the Company.
  9. g) To copy, use or advertise the trade-mark of the Company and its logo in any fashion or form without written authorization from the Company.



ALBERTA – Continuing Education FAQs

The Insurance Agents and Adjusters Regulation of Alberta sets out the Continuing Education Requirements for  insurance agents, brokers and adjusters

Here are the answers to some of the most common questions asked by Agents, Brokers and Adjusters in Alberta.

What are the Certificate Terms for Continuing Education?
Life and Accident & Sickness insurance agents, General insurance agents and Adjusters are required to complete in each certificate term at least 15 hours of approved continuing education courses. Effective July 1, 2014, a “certificate term” means the period beginning on July 1 and ending on the next June 30.

How do I know that I have satisfied my CE requirements?
You must log in to AIC and check your CE Summary Report. You are required to have completed 15 CE hours of approved courses each year in order to process the renewal of your license. All approved courses are found in the CE Course Lookup Section on the AIC  web site. Contact ILScorp directly for assistance if you are unable to find a course.

Are there any exemptions to the continuing education requirement?
Yes. Individuals who hold a General insurance agent’s certificate limited to hail insurance or livestock insurance and individuals who hold an Adjuster’s certificate limited to hail insurance, travel insurance or equipment warranty insurance are not required to complete a continuing education requirement.

Are there exemptions for Maternity Leave or Long Term Disability?
There are no provisions under the Insurance Act or Regulations to allow an exemption for those agents who are on long term disability or maternity leave.

Is there carry over of hours?
The Insurance Agents and Adjusters Regulation allows for a carry forward up to 7.5 hours of continuing education credits from one year to be used in the next year per class of license.

What are the required hours for new Alberta agents?
1.25 hours per licensed month. Agents who apply for a certificate of authority (license) with 3 or less months remaining in the certificate term are not required to complete the Continuing Education requirement. If your first license was issued on April 1st, you will not be required to complete a CE requirement until you renew your certificate in the following year.

How do I determine if a course is accredited?
All courses which have been approved by the Accreditation Committee are listed on the Alberta Insurance Council website CE Course Lookup. ILScorp offers Alberta accredited courses for General / Adjuster as well as Life/A&S.

Accredited CE Courses

Why can’t I enter the date that I completed my CE courses?
As you enter the course id number on the AIC website, a number of courses will be presented to you in a drop down for your selection. You must select the name of the course from the drop-down. A calendar will then be made available to select the date of completion. Some courses may have only been approved within a specific date range.

When entering a CE course on the AIC website, I receive a message that says “You are attempting to save a course in a closed CE term.” Can I still add the course?
You may still add courses in a CE term that has already been closed. Since you will not be able to modify or delete the course once it has been saved, you will be asked if you wish to continue to save the course. Click the “Continue” or “Cancel” button to proceed.

When do I need to have all my CE credits completed?
When you renew your certificate of authority you are required to demonstrate that you have completed 15 hours of approved continuing education courses for each certificate being renewed by entering all approved courses under your profile.

Agents/adjusters who have not entered sufficient continuing education credits will not be able to renew their certificate(s) until sufficient courses have been entered.

What happens if I do not complete sufficient CE hours? Can I renew my license and earn my CE credits later?
All insurance agents and adjusters who are required to complete a CE requirement will not be able to renew their certificate(s) until they have demonstrated that they have sufficient CE credit hours. Failure to complete the CE by June 30th will result in your certificate of authority automatically expiring and you will not be authorized to act as an insurance agent or adjuster until you have satisfied your CE requirement and re-applied for your certificate(s).

Should I send in the CE certificates provided to me by the course providers?
No, these certificates are only required if the agent/adjuster becomes part of a random audit.

As a new agent can I use credits I earned from course taken before my license was issued?
New agents/adjusters may use credits earned by an approved course towards their first reporting period providing the course was taken in that certificate term.

License Renewal 2018 MANITOBA

License Renewal 2018 MANITOBA

What happens if you fail to renew your license by May 31?

Manitoba General and Manitoba Life/A&S License renewal deadline May 31, 2018

You will be prohibited from acting as an agent.

Your agency or sponsoring insurance company will be notified immediately of the expiry of your license.

If you wish to apply under the reinstatement process, you will be required to complete ad submit a paper application form, along with the annual licensing fee and the reinstatement fee of $70.00. You will not be able to act as an gent until the Insurance Council of Manitoba approves the application and confirms the reinstatement by email to you. Delays could occur where additional requirements must be submitted for reinstatement.

Accredited CE Courses


Renewal instructions are available on the ICM website here.  Users Guides and Frequently asked Questions (FAQS) are also available on the ICM website. Phone calls or emails from licensees with questions that are answered within the User Guides and FAQs will no be returned by Council.

Council recommends that you renew your license immediately to provide time to deal with any potential issues before the deadline. Online license renewal is the ONLY method of renewing your license. There are approximately 15,000 licenses being renewed in the month of May, you may find the ICM system slow when trying to renew.


Don’t leave the entry of your completed Manitoba CE credits until the last minute. Enter credits upon completion and allow the on-line CE system to
a) track how many CE credits you have completed,
b) remind/inform you of how many more credits are required to renew your license and
c) simplify your on-line renewal.

Login with your User ID and Password and click on “Continuing Education” to view your CE Status and log the CE courses that you have successfully completed. Simplified instructions to enter your CE credits are outlined under “Report Courses”.

Continuing education credits must have been obtained from an accredited course provider, or have received individual course approval by the ICM. If a licensee intends to apply a course or seminar that is not offered by an Accredited Course Provider, completion and submission of the Individual CE Approval Application is required. The application form must be submitted to the ICM at least 30 days in advance of the course to ensure sufficient time to make an informed determination as to whether the CE course qualifies for Manitoba CE credits. More information on what type of CE would fall into this category can be found on the ICM website under “Continuing Education Info”.

Entry of CE for the same course more than once may be permitted on an exception basis only. If an agent wishes to claim credit for a course more than once, the agent must contact Council for prior approval and provide written reasons. This review is subject to the individual course review fee of $50.

For your reference, the CE requirements including the applicable definition for each class of license can be located on the ICM website, and are briefly outlined below:

Life and/or Accident & Sickness

  • 15 hours accumulated from June 1 – May 31
  • no carry forward


  • 8 hours accumulated from June 1 – May 31
  • maximum of 4 carry forward

Auto-Only Brokers

  • 4 hours accumulated from June 1 – May 31
  • maximum of 2 carry forward


  • 8 hours accumulated from July 1 – June 30
  • maximum of 4 carry forward
CE Information specific to Non-Residents of Manitoba

Non-residents residing in Canadian jurisdictions that have mandatory CE requirements will be deemed to have met the requirement in Manitoba. Agents/Brokers and Adjusters residing in a jurisdiction where CE is not mandatory are required to comply with Manitoba’s CE requirements. CE Credits must be obtained from an Accredited Course Provider or a course that has been individually approved by the ICM.

Residents of the United States of America are required to comply with the Manitoba CE requirements. CE Credits must be obtained from an Accredited Course Provider or a course that has been individually approved by the ICM. However, if a US resident has completed a course that meets the applicable Manitoba requirements , the agent may apply for consideration of individual approval. Should the ICM determine that the CE course is not applicable to the Manitoba CE definition, the US resident would be required to complete additional CE courses to meet the mandatory Manitoba CE requirement.

Questions can be directed to

New Course – Insurance Distribution Channels

New Course – Insurance Distribution Channels

Demand for insurance products and services remains as strong as ever but there has been a fundamental shift in the channels consumers choose to make their purchases. Insurance is generally bought directly through an insurer (through its captive agents, the web or other direct channels) or through independent agents and commercial brokers who provide access to the products of several insurers. Agreements bind brokerages and insurance companies together. The terms of these can vary according to the companies involved. These agreements will document the relationship that exists between the two parties.

By the end of this course you will be able to:

  • Explain independent and direct channels of insurance distribution in Canada
  • Describe agreement between a broker and an insurer
  • Describe factors considered by a brokerage to choose an insurer
  • Describe factors considered by an insurer to choose a brokerage

Become an ILScorp group member to save even more.

Included as part of the ILScorp Adjuster CE Subscription.
Included as part of the ILScorp General CE Subscription.

Access Duration from the Date of Purchase: 6 months
Credit Hours: 2
Credit Type: General/Adjuster – Technical and RIBO Management
Credit #: AIC #48001; MB#30086
Accrediting Provinces: BC, AB, SK, MB, ON



General Insurance Continuing Education For British Columbia Licensees

General Insurance Continuing Education Requirements and Definitions for BC


1. Number of Hours Required:

  • if you have an approved designation* you must have 4 qualified hours of continuing education; OR
  • if you have been licensed as a general insurance agent or salesperson for at least 5 of the last 7 years in a Canadian jurisdiction, and you do not have an approved designation, you must have 6 qualified hours of continuing education; ORif you
  • have not been licensed as a general insurance agent or salesperson agent for at least 5 of the last 7 years in a Canadian jurisdiction and you do not have an approved designation, you must have 8 qualified hours of continuing education.

*Approved Designations: CAIB, CIB, CIP (formerly AIIC), CCIB, FCIP and CRM. Designations from other countries will be considered where it is demonstrated to Council they are equivalent to one of the approved Canadian designations.

2. Content:

For salespersons and agent level 2 licensees, only technical material will qualify for continuing education. Technical education directly relates to:

  • general insurance products;
  • compliance with insurance legislation and requirements such Council’s Code of Conduct, Council Rules, the Insurance Act and privacy legislation;
  • ethics; or
  • E&O

ILScorp courses that qualify as technical CE will show the following:

Credit Type: General/Adjuster – Technical

Accrediting Provinces:

For level 3 licensees, the above definition is broadened to include courses relating to management, accounting and human resources.

ILScorp courses that qualify as CE for Level 3 Licensees will show the following:

Credit Type: General/Adjuster – Professional

Accrediting Provinces:

General Insurance CE Courses

3. Council Rules Course:

All licensees who obtain their insurance license in British Columbia on or after March 1, 2016 must successfully complete the Council Rules Course before their first annual filing. The Council Rules Course is available from the Insurance Brokers Association of British Columbia. This requirement applies to both resident and non-resident licensees. Failure to successfully complete the Council Rules Course will result in a licensee not being in compliance with Council’s continuing education requirements and the licensee will not be eligible to make his or her first annual filing. For more details on this requirement read Council Notice ICN 16-001 at Publications, then select Notices.

4. Structure:

The education must take place in a structure dedicated to learning. Day-to-day business or professional reading does not qualify. However, a separate training meeting for the purposes of reviewing the details of a specific product line may qualify, but regular staff meetings that cover a myriad of topics do not.

5. Facilitator:

The facilitator is expected to be fully qualified. You can usually verify this through course or promotional materials.

6. Time:

One hour of instruction is equal to one hour of continuing education credit, subject to a one hour minimum. Breaks are excluded and you must attend the complete course or seminar. In addition:

  • no course can be accredited for more than 8 hours;
  • there is a daily maximum of 7 hours; and where a course involves an exam, you must successfully pass the exam.

    7. Carry Forward

    Commencing 01JUN2008, excess credits cannot be carried over into the next license period.

Help! My courses are missing!

Help! My courses are missing!

Where did my courses go?


If your courses no longer appear in the courses dropdown in the top menu of your ILScorp account, your courses may have expired.

ILScorp courses are available for a specific amount of time from the date of purchase.  CE course subscriptions and individual courses are available for 6 months from the date of purchase, CAIB Courses have 4 months’ access and Level 1 Licensing for 3 months, all with unlimited amount of access. If you log into your ILScorp profile and do not see any courses listed under the “My Courses” tab, you can renew / purchase your course subscription from the ILScorp Course Catalog, or by choosing your subscription category here. Once your purchase is complete, you will have immediate access to your courses.

How do I register for more online insurance courses?

To renew your subscription or register for a licensing course simply:

  1. Go to
  2. Do not log in – find the course you wish to take off the homepage and click ‘Buy Now’
  3. If you are a returning user – enter your current username/password – click ‘Sign In’ (Do not make a new account)
  4. If you are a new user – create a new account and fill in all applicable information – click ‘Submit Information’
  5. Enter your credit card information as it appears on your billing statement

How do I access my online insurance courses once I am registered?

To access your courses simply:

  1. Log in with your username and password on
  2. Go to ‘My Courses’ on the top tab
  3. Choose a course category, and a click on a course title within that category to begin taking courses

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