Licencees have an obligation to provide notification to the Insurance Councils of Saskatchewan of decisions and certain changes that are related to their insurance licence as outlined in the Bylaws at Part III, Licences, 3-1 Licences and obligations.
PART III Licences
3-1 Licences and obligations
(1) GICS/LICS may approve applications for licences in any of the property and casualty classes of insurance set out in the Act or the regulations.
(2) Subject to sections 3-2 and 3-3, GICS/LICS shall only issue a licence when:
(a) the person meets the requirements outlined in section 7-1; and
(b) GICS/LICS is satisfied that the person is suitable to be licensed and the proposed licensing is not for any reason objectionable.
(3) Pursuant to sections 5-17, 5-39, 5-54, 5-64 and 5-71 of the Act, GICS/LICS may, at any time, impose terms and conditions on a licence, and amend, vary or repeal those terms and conditions.
(4) A licence imposes on the licensee, and if a business, the designated representative, obligations including but not limited to, the following:
(a) to adhere to the Act, regulations and these bylaws;
(b) to follow established standards of competence, conduct and practice in the business of insurance;
(c) to immediately notify GICS/LICS of:
(i) the failure to maintain the prescribed financial security requirements (errors and omissions insurance or the bond), pursuant to sections 5-10 and 5-23 of the regulations;
(ii) any name change, personal or business;
(iii) any corporate change, such as:
(A) amalgamation of the business;
(B) sale of the business; or
(C) dissolution of the business;
(iv) for a partnership, any change in the membership of the partnership or of the general partners of a limited partnership;
(v) any withdrawal of a licence recommendation;
(vi) any change in designated representative;
(vii) any change in other employment;
(viii) any change in address or contact information; and
(ix) any proceeding in bankruptcy, including a Consumer Proposal;
(d) to notify GICS/LICS within 30 days of:
(i) the commencement of any criminal proceedings against the licensee or the licensee’s directors or officers;
(ii) the commencement of any professional, occupational or regulatory body proceedings against the licensee or the licensee’s directors or officers anywhere in the world, including, but not limited to:
(A) actions by any organization in which the licensee holds a designation;
(B) any written notification regarding a suspension or cancellation of a contract from an insurer, MGA or any insurance business; or
(C) actions by any regulatory body in which the licensee holds a registration or a licence; and
(iii) the commencement of any other type of legal action, including but not limited to class action lawsuits or civil actions respecting the business of insurance;
(e) to be supervised in accordance with these bylaws;
(f) to abide by any limitations and conditions that may be attached to the licence;
(g) to file with their annual reporting form the continuing education and ethics courses they have attended; and
(h) to retain continuing education certificates issued by course provider(s) for a minimum of four years, for inspection by GICS in the event of an audit of licensee records
The purpose of this Designated Representative Handbook (“Handbook”) is to summarize those responsibilities and provide guidance to the DR in what is expected of them. Appendix B (attached) of the General Insurance Council Bylaws (“the Bylaws”) outlines the eight (8) Operating Principles for the DR. This Handbook expands on those Principles in establishing professional standards for the management of a Property and Casualty Insurance Agency.
The Designated Representative Handbook can be found Here