IBAC Begins “PMS” Tour

Insurance Brokers Association of Canada (IBAC) newly appointed president for the 2001/2002 term, Ginny Bannerman, announced her theme for the year ahead, the “PMS tour” – presidential moving and shaking tour – at the association’s recently held annual general meeting which took place in Calgary.

“It is a great privilege to serve IBAC as its 50th president in its 80th year,” Bannerman remarks, whilst pointing out that the year ahead will not be a “sit back and relax” time for the independent brokerage community. High on the association’s agenda is the launch of the “Canadian Professional Insurance Broker” (CPIB) educational program. The professional education program was officially launched at the IBAC meeting.

Other key areas of focus for the association lie in development of the Centre for Study of Insurance Operations (CSIO) intranet-based real-time, data communication portal set to go live in the early stages of 2002. “The [IBAC] technology committee will be dealing with the many issues involved in helping brokers to use the CSIO portal effectively. After decades of waiting and hearing that single entry, multiple company interface [SEMCI] was just ‘six months off’, it is amazing to realize that it is actually here.”

Other hot issues on the association’s agenda for next year include development of a new advertising campaign under the BIP banner, although the current ad airing on television will run through to the end of 2002, Bannerman notes. She also cautions members against becoming complacent in the fight against banks entering the direct retailing of insurance. “Our recent and significant wins in Ottawa with Bill C-8 will provide the political action committee with the greatest challenge in the year ahead – that is to fight the impulse to ‘rest on our laurels’…Bill C-8’s sunset clause may be invoked well before its five years are up – in fact, there is every reason to believe this will happen significantly before five years.”

CPIB program

Outgoing president and current chair Kevin Umlah says 2001 has been a “rebound year” for IBAC in many respects. Notably, the association increased the number of insurers supporting the BIP program by five to a total of 15 companies, while sponsorship of two of the CPIB courses, “law & ethics” and “claims” were gained from Zurich Canada and Royal & SunAlliance Insurance Co. of Canada. “The new CPIB program is positioned at university-level of study, and gives brokers a new challenge and an opportunity to expand their professional horizon beyond the Canadian Accredited Insurance Broker program. Umlah says the six mandatory courses comprising the CPIB program will be open to brokers wishing to take any number of the courses for purposes of continuing education hours.

Privacy laws

IBAC also used the occasion of its AGM to reveal a new guide booklet providing specific advice to brokers with regard to the federal government’s new Personal Information Protection and Electronic Documents Act, which took effect for many industries from the beginning of this year. Although insurers and brokers will not be subject to the new rulings until 2004, there are instances when a broker could run afoul of the legislation before that date, Bannerman warns.

She says the IBAC guide will be distributed free of charge to members, while subsequent copies can be requested for a minimal fee. The guide was researched and compiled specifically for use by brokers, she says. “We had a look at the Insurance Bureau of Canada guidelines for insurers, but ours is broker specific.”

The guide provides examples of potential situations where a broker may run into conflict with the federal law, as well as “useful suggestions” which firms can apply to ensure that they remain within the confines of the legislation, Bannerman says. Costs to brokers in implementing the recommendations on privacy policy will be low, she adds.