Insurance Companies Act (S.C. 1991, c. 47)

Marginal note:Matters for consideration

27. Before issuing letters patent to incorporate a company or society, the Minister shall take into account all matters that the Minister considers relevant to the application, including

• (a) the nature and sufficiency of the financial resources of the applicant or applicants as a source of continuing financial support for the company or society;

• (b) the soundness and feasibility of the plans of the applicant or applicants for the future conduct and development of the business of the company or society;

• (c) the business record and experience of the applicant or applicants;

• (d) the character and integrity of the applicant or applicants or, if the applicant or any of the applicants is a body corporate, its reputation for being operated in a manner that is consistent with the standards of good character and integrity;

• (e) whether the company or society will be operated responsibly by persons with the competence and experience suitable for involvement in the operation of a financial institution;

• (f) the impact of any integration of the operations and businesses of the applicant or applicants with those of the company or society on the conduct of those operations and businesses; and

• (g) the best interests of the financial system in Canada.

Marginal note:Contents of letters patent

• 28. (1) There shall be set out in the letters patent incorporating a company or society

  • (a) the name of the company or society;

  • (b) the province in which the head office of the company or society is to be situated;

  • (c) the date that the company or society came, or is to come, into existence; and

  • (d) in the case of letters patent incorporating a company, whether the company is to be a mutual company.

• Marginal note:Fraternal benefit societies

  (2) In addition to the information required to be included under subsection (1), there shall be set out in the letters patent of a society

  • (a) the criteria for membership in the society;

  • (b) the manner in which the capital of the society is to be acquired; and

  • (c) the disposition to be made of the property of the society on liquidation.

• Marginal note:Provisions in letters patent

  (3) The Minister may set out in the letters patent incorporating a company or society any provision not contrary to this Act that the Minister considers advisable in order to take into account the particular circumstances of the proposed company or society.

• Marginal note:Terms and conditions

  (4) The Minister may impose such terms and conditions in respect of the issuance of letters patent incorporating a company or society as the Minister considers necessary or appropriate.