April 27, 2015 Insurance Decisions and Freeze and cease trade orders

Montréal - Foresters Life Insurance Company (Foresters Life) recently agreed to pay a total fine of $25,000 for offences pertaining to products offered through distributors.

The AMF claimed that Foresters Life sold between 241 and 264 products related to group creditor insurance for mortgages (Assurance collective des créanciers pour hypothèque) through a distributor over a period of three years and nine months without filing a distribution guide with the AMF.

The AMF also claimed that Foresters Life failed to respond, responded late or inadequately responded to its requests, or provided incomplete, inaccurate or inconsistent answers to its questions.

Foresters Life has withdrawn its distribution guides for group creditor insurance for mortgages and for group creditor insurance for general leasing (Assurance collective des créanciers pour location générale) and it was agreed that it would file new distribution guides in compliance with applicable laws and regulations if it wishes to distribute such products in Québec again.