Citation: Kia Canada Inc. (Re), 2025 BCSFI 3 Date: 2025-04-09
BC Financial Services Authority IN THE MATTER OF THE FINANCIAL INSTITUTIONS ACT, RSBC 1996, C. 141
and Kia Canada Inc. (Pursuant to section 208 of the Financial Institutions Act)
UNDERTAKING [This Undertaking has been redacted before publication.]
WHEREAS the BC Financial Services Authority (“BCFSA”) completed an investigation into the conduct of extraprovincial corporation Kia Canada Inc. (“KIA”) pursuant to an Order issued under section 215(1) of the Financial Institutions Act (“FIA”);
AND WHEREAS the Superintendent of Financial Institutions (the “Superintendent”) is of the opinion, based on the investigation, that KIA carried on the business of insurance in British Columbia (“B.C.”) when KIA underwrote its appearance protection contracts (“Appearance Protection Contracts”) to B.C. consumers (“Policyholders”) without being authorized to do so as required under the FIA, thereby contravening sections 75 / 159(1) of the FIA;
AND WHEREAS KIA does not admit it breached the FIA, but accepts that the Superintendent is of the opinion that the Appearance Protection Contracts constitute automobile insurance and that the alleged breach of sections 75 / 159(1) of the FIA took place;
AND WHEREAS the Superintendent is not aware of any harm to B.C. Policyholders;
AND WHEREAS the Superintendent considers it appropriate for KIA to enter into this Undertaking pursuant to section 208 of the FIA;
AND WHEREAS KIA undertakes the following:
1. As of the date of the Undertaking, to not carry on any new business of insurance in B.C. through the underwriting, marketing and/or distribution of any new Appearance Protection Contracts to B.C. consumers (other than adjusting claims made under Appearance Protection Contracts in place with B.C. consumers prior
Classification: Protected B