The Autorité des marchés financiers (AMF) has reached a deal with Scotia Life Insurance Co. to resolve the regulator’s concerns about the insurers distribution of certain insurance products.
Scotia Life has paid a $500,000 administrative penalty, the AMF says in a statement.
The Quebec regulator claims that Scotia Life offered accidental death and hospitalization insurance products through employees of a telemarketing firm, who were not qualified to sell those products.
“During the last five years, ScotiaLife sold more than 25,000 policies and collected from $8,676,993 to $10,050,345 in premiums,” the AMF says.
The firm has now discontinued its distribution of those products, and adopted measures to ensure that its distribution arrangements comply with the law, the AMF says.