TORONTO, July 5, 2022 /CNW/ - Today the Financial Services Regulatory Authority of Ontario (FSRA) released its integrated Insurance Prudential Supervisory Framework Guidance (link to consultation web page) for public consultation.
The Insurance Prudential Supervisory Framework sets out FSRA's processes for assessing the risk profiles of provincially incorporated insurance companies. This will better protect policyholders and consumers by helping FSRA identify areas of concern and determine what level of FSRA supervision and intervention is needed.
"This is an important milestone that will promote high standards of business conduct in the insurance sector and protect the rights and interests of policyholders and consumers," said Mehrdad Rastan, FSRA Executive Vice President, Credit Union and Insurance Prudential. "With this new approach, individuals and families can continue to have confidence that Ontario incorporated insurance companies will act in their best interest and treat them fairly."
The framework is risk-based and principles-based and aligned with national and international practices. It considers the size, complexity and risk profile of each institution, and increases the effectiveness of FSRA's supervision by allocating FSRA resources to the areas of greatest risk.
FSRA thanks its Technical Advisory Committee on Regulatory and Supervisory Initiatives and consultation participants for their valuable input into the consultation draft. FSRA invites feedback from other sector stakeholders and the public until September 6, 2022.
Insurance Prudential Supervisory Framework Guidance – Consultation Draft
SOURCE Financial Services Regulatory Authority of Ontario