Deficient monitoring of representatives - Allstate makes undertaking to AMF and pays penalty of $10,000
Montréal – At the request of the Autorité des marchés financiers (AMF), the Bureau de decision et de révision (the “Bureau”) handed down a decision on December 9, 2010 and imposed an administrative penalty of $10,000 on the firm Allstate du Canada, Compagnie d’assurance (Allstate). Allstate is registered in the insurance of persons, damage insurance and claims settlement sectors. The firm has undertaken to strengthen the control and monitoring measures required under An Act respecting the distribution of financial products and services.
Specifically, the AMF alleged that Allstate failed to ensure that certain individuals held valid licences at the time they were pursuing activities as damage insurance representatives.
Allstate and its officers were informed of the situation and took the necessary steps to prevent a recurrence. Allstate undertook to implement a remedial action plan that includes, in particular, monthly monitoring of the status of the certificates of all its damage insurance representatives.
The Autorité des marchés financiers (AMF) is the regulatory and oversight body for Québec’s financial sector.
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