Financial Consumer Agency of Canada Assessment of Financial Institutions Regulations (SOR/2001-474)

Regulations are current to 2019-06-20

Determination of Base Assessment for Insurance Companies (continued)

Marginal note:Green Shield Canada

  •  (1) For the purpose of this section, Green Shield Canada shall be considered to be a property and casualty company within the meaning of subsection 2(1) of the Insurance Companies Act.

  • Marginal note:Base assessment

    (2) The base assessment of a financial institution that is an insurance company, other than one referred to in section 7, shall be equal to, for any fiscal year,

    • (a) where the amount determined by the formula A × C / E is equal to or less than $1,000, the amount of $1,000, and

    • (b) otherwise, the aggregate of $1,000 and the amount determined by the formula

      (C - D) × A / B

      where

      A
      is
      • (i) if the insurance company is Green Shield Canada, the total amount of net revenue received in Canada from its prepayment plans other than administrative services only plans, ascertained pursuant to paragraph 2(c), and

      • (ii) if the insurance company is not Green Shield Canada or an insurance company referred to in section 7, the total amount of net premiums received by it in Canada, ascertained pursuant to paragraph 2(d),

      B
      is the aggregate of the amounts determined for A, in respect of all financial institutions that are insurance companies, other than those referred to in subsection 3(2) and section 7, in respect of which the amount determined by the formula A × C / E is greater than $1,000,
      C
      is the amount of the expenses that are ascertained pursuant to subsection 18(1) of the Act as having been incurred during the fiscal year for or in connection with the administration of
      • (i) the Act, to the extent that those expenses are attributable to insurance companies other than ones referred to in section 7,

      • (ii) the provisions referred to in paragraph (c) of the definition consumer provision in section 2 of the Act, to the extent that those expenses are attributable to insurance companies other than ones referred to in section 7, and

      • (iii) the provisions referred to in paragraph (e) of the definition consumer provision in section 2 of the Act,

      D
      is the product obtained by multiplying $1,000 by the number of insurance companies, other than those referred to in section 7, assessed pursuant to subsection 18(3) of the Act in respect of that fiscal year, and
      E
      is the aggregate of the amounts determined in A, in respect of all financial institutions that are insurance companies, other than those referred to in subsection 3(2) and section 7.

Notice of Assessment

Marginal note:Notice in writing

 The Commissioner shall send to each financial institution a notice in writing of the assessment against it.

Coming into Force

Marginal note:Coming into force

Footnote * These Regulations come into force on the day on which section 32 of the Financial Consumer Agency of Canada Act, chapter 9 of the Statutes of Canada, 2001, comes into force.

 
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