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Violations of the rule involve certain incentives programs

Why banning life insurance sales incentives won’t help consumers

Jim Ruta cautions that banning sales incentives may lead to fewer families with life insurance coverage

  • By: Jim Ruta
  • September 13, 2017 January 18, 2018
  • 14:30

AMF & CCIR to look at how incentives influence insurance advisors

The regulator’s paper follows a 2015 survey highlighting several concerns, including the management of conflicts connected with remuneration

IIROC reaches settlement with three former All Group reps

The firm spent $2 million on a conference that violated the rules and included lavish gifts for reps, including Dom Perignon, jewelry and golf outings

The aim is to avoid conflicts of interest when selecting reps to attend conferences

The CFPB is warning financial services firms to avoid using sales incentives that encourage employees to put consumers into inappropriate products

Following in Great-West Life’s and Canada Life’s footsteps, the two insurance giants are looking to put sales incentive programs, such as all-expenses-paid trips, in the past

The firms will no longer host volume-based incentive conferences to ensure advisors can operate without any perceived conflicts of interest

The OSC, the MFDA and IIROC are planning reviews of fees and incentives that could negatively affect clients