L&H Insurance Technical Advisory Committee (“TAC” or the “Committee”) on Segregated Funds

Meeting summary

Date: November 3, 2022
Time: 3:00 pm to 4:30 pm
Location: Videoconference – Ontario Room 113, 25 Sheppard Ave West.

Purpose of Committee: The Financial Services Regulatory Authority (“FSRA”) established the Committee to assist with its review of the distribution and administration of segregated funds in Ontario, particularly regarding consumer issues.  The Committee’s input will help FSRA to develop effective processes, guidance, and approaches in regulating the insurance sector.

1. New members

FSRA staff welcomed new members to the TAC on Segregated Funds since the group last met on January 15, 2021.

  • Jordan Clark, representing Sun Life and replacing Ali Salam
  • Kevin Hwee, representing Canada Life and replacing Matt Poetker
  • Teri Ryan, representing Equitable Life and replacing Colin Simpson

2. Segregated Fund initiatives – Update and recap

FSRA staff provided a recap of national segregated fund initiatives by the Canadian Council of Insurance Regulators (“CCIR”) and the Canadian Insurance Services Regulatory Organizations (“CISRO”), which include concurrent work on four topics:

  • Total Cost Reporting
  • Upfront Compensation
  • Conduct Matters
  • Technical Matters

FSRA staff indicated the outcome of the four work streams will be a comprehensive national Segregated Fund Guidance, aligned with industry best practices. CCIR & CISRO are targeting 2024 to issue its final consolidated Guidance.

When the consolidated national guidance is complete, FSRA will implement it in Ontario.

3. Proposed Deferred Sales Charge rules:

FSRA staff provided an update on FSRA’s proposed rules for Deferred Sales Charges (“DSC”). Please see the public consultation for further details.

4. Upfront Compensation for Segregated Funds – Discussion paper

FSRA staff reviewed CCIR’s & CISRO’s Discussion Paper on Upfront Compensation for Segregated Funds and sought Committee member feedback on targeted customer outcomes for consumers and the impact of potential post-consultation scenarios.

FSRA staff noted the consultation period would end on November 7, 2022. 

Members and FSRA staff discussed potential post-consultation scenarios.  

5. Next steps

FSRA staff thanked the TAC members for their contribution to the committee and will continue will reach out to them throughout the development of the segregated fund work streams.  FSRA staff welcomed any additional feedback TAC members may have at any time.





Daniel Steinkey IFB (Independent Financial Brokers of Canada) Yes
Pierre Vincent Industrial Alliance (iA Financial Group) Yes
Jordon Clark Sun Life Financial Yes
Eric Wachtel CAILBA (Canadian Association of Independent Life Brokerage Agencies) Yes
Kevin Hwee Canada Life Yes
James Wood CLHIA (Canada Life and Health Insurance Association) Yes
Kerrie Moore Co-operators Life Yes
Geoff Gibson Empire Life Yes
Teri Ryan Equitable Life Yes
Aly Damji Hub Financial Yes
Tamara Steinberg ivari Yes
Kelly Gonsalves Manulife Yes
David Howarth Primerica Yes
Jules Kerlinger RBC Wealth Management Financial Services Yes
Monica Liang Ministry of Finance Yes
Gina Stephens Ministry of Finance Yes
Adam Levy FSRA Yes
Carol Allen FSRA Yes
Chris Caldarelli FSRA Yes
Erica Hiemstra FSRA Yes
Huston Loke FSRA Yes
Joel Gorlick FSRA Yes
Mike Winter FSRA Yes
Raymond Pearce FSRA Yes
Tim Miflin FSRA Yes

Disponible en français sur demande.