November 1^st, 2010 Insurance

Montréal – The Autorité des marchés financiers (AMF) is notifying motor vehicle dealers and consumers that program administrator GWPco Inc. is not authorized to market the replacement insurance products issued by Trisura Guarantee Insurance Company (Trisura Guarantee).

A provisional order was issued on October 28, 2010 ordering Trisura Guarantee to immediately cease distributing its replacement insurance product through GWPco Inc. and motor vehicle dealers as it is not authorized to issue this type of contract in Québec under An Act respecting insurance.

The AMF is taking the necessary steps to protect consumers who have purchased the replacement insurance product and to put an end to the marketing of this product, particularly through GWPco Inc. As well, the AMF is requiring that the various distributors be duly notified that Trisura is not authorized to issue replacement insurance policies, and has also requested the complete list of all persons who have purchased replacement insurance from Trisura Guarantee since October 1, 2010.

October 1, 2010 – New rules for replacement insurance

On October 1, 2010, new rules governing replacement insurance came into force, in addition to use of form Q.P.F. No. 5, approved by the AMF. Insurers and distributors of this insurance product are therefore required to comply with the new rules, which provide assurance to consumers who purchase replacement insurance that they are dealing with distributors and insurers that are solvent and overseen by the AMF.

The Autorité des marchés financiers is the regulatory and oversight body for Québec’s financial sector.

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