IBAO urges members to counteract credit unions’ lobby

The Insurance Brokers Association of Ontario (IBAO) is calling on its membership to lobby against provincial legislative changes that would allow credit unions to retail insurance in their branch networks.
“The livelihood of insurance brokers is being threatened by Ontario’s credit unions,” the IBAO says in a recent e-mail to its membership. “On April 8, 2006, Credit Union Central of Ontario (CUCO) issued a statement urging Ontario’s credit unions to push the province for changes, by means of flooding MPPs offices with e-mails, phone calls, and letters demanding changes, in order to improve the current legislation.
“The statement points to the fact that credit unions need new powers in order to compete effectively with banks, insurance companies and new financial service providers.”
Credit unions, the IBAO e-mail continues, “should not be allowed to offer insurance through their branch networks in the interest of fair competition and protecting consumers.”
The IBAO e-mail notes the urgency to “to act now” and ensure that brokers’ views are made clear. “The timing is extremely important because, with the budget out of the way and the Liberal government feeling confident [that] it delivered a solid fiscal platform, the consultation paper we have been waiting for will soon be delivered.”
The IBAO urges Ontario brokers to contact their MPPs “as part of our industry efforts to continue to fight the credit unions on this very important issue.” It is suggested that brokers write or meet with their MPPs to deliver their message. Members are also routed to an online “Grassroots Advocacy Kit.”