NOTICE TO THE PROFESSION AND THE PUBLIC POTENTIAL OCCUPATIONS AT CONFLICT WITH DUTIES OF AN INSURANCE INTERMEDIARY – FROM THE ALBERTA INSURANCE COUNCIL
In the interest of fairness, transparency, and to expedite the application process, the Councils provide the following examples of other occupations which may present a conflict of interest while acting as an insurance agent, or may present an opportunity to exercise undue influence in order to secure or direct insurance business.
In response to the increased number of applications to receive, renew, reinstate or retain certificates of authority (colloquially referred to as insurance “licenses”) the Life Insurance Council (LIC), the General Insurance Council (GIC) (collectively referred to herein as the “Councils”) and the Alberta Insurance Council (AIC) issue the following Notice to the Profession and the Public.
The current Insurance Agents and Adjusters Regulation1 provides the following:
- Insurance agents the individual must not be in a position to use coercion or undue influence in order to control, direct or secure insurance business
- the individual must not be engaged in another occupation or business that would place the individual in a conflict of interest position when acting as an insurance agent.
The following occupations may prevent an applicant from receiving, renewing, reinstating or retaining a certificate of authority due to a potential conflict of interest, or due to the potential of undue influence, coercion or control in order to secure or direct insurance business:
Government Employees (federal, provincial, and local municipalities);
Politicians and Legislators;
Religious and Spiritual Leaders;
Members of the Judiciary, lawyers and members of the Law Society of Alberta (or other legal societies within Canada);
Law Enforcement Employees; RCMP, municipal police, penitentiary staff, probation officers, behavioral correctional staff (remand centers etc.), youth justice workers, and investigators;
Members of an arbitrative administrative law panel (on matters of appeals or eligibility);
Physicians, psychiatrists, psychologists, counsellors, mediators, social workers, therapists, mental health clinicians and the staff who support them;
Medical examiners, crisis intervention workers, registered nurses (“RNs”), front-line nurses, residential care workers, out-patient support, rehabilitative and palliative care workers;
Employees of outreach, public access or charitable programs (both private and public) who assist a vulnerable sector of the public;
Maintenance enforcement workers, bailiffs, collections staff, or pawnbrokers;
Corporate franchise tax preparers;
Immigrant and new-comer support workers (private or public); and
Volunteer workers in any of the above fields.
These professions are provided as a guideline, only. Click here to view the full notice document.
Even if your business activities are not on the List of Other Employment and Business Activities Considered by Council, use discretion to ensure they do not have the potential to create a conflict of interest. Review your Provincial Insurance Council Code of Conduct’s Conflict of Interest Guidelines periodically on how to plan for and address situations when a conflict of interest arises, and how to manage or avoid such conflicts.