Superintendent
of surintendant des
Financial services
Services financiers
___________________________________________________________________________
REGARDING the Insurance Act, RSO 1990, c I-8, as amended (the “Act”), in particular, sections 393(9) – 393(11)
AND REGARDING Marcel Genereux, Life Insurance and Accident and Sickness Insurance Agent
DECISION AND ORDER
Overview:
Mr. Marcel Genereux has not requested a hearing in response to the January 2, 2014 Notice of Opportunity for Hearing (the “Notice”) to revoke his life insurance and accident and sickness insurance agent licence (“insurance agent licence”). There are no explanations for his behaviour. Nor is there any demonstrated interest in maintaining his insurance agent licence. The insurance agent licence of Mr. Genereux is revoked.
Introduction:
On January 2, 2014, the Superintendent of Financial Services (“Superintendent”) issued a Notice to Mr. Marcel Genereux. The Notice informed Mr. Genereux of allegations against him and the opportunity for a hearing before an Advisory Board. The Notice advised Mr. Genereux that if a hearing was not requested the Superintendent would make a decision based on information in the possession of the Financial Services Commission of Ontario (the “Commission”). Mr. Genereux was also advised that such decision could include the suspension or revocation of his insurance agent licence.
I received evidence from Legal Counsel at the Commission that the Notice was sent by registered mail to the address on file at the Commission and that no request for a hearing was received. I am satisfied that the Notice was properly served in accordance with the provisions of the Act and that Mr. Genereux did not request a hearing.
A copy of the allegations is attached to this Decision in Schedule 1.
The Evidence:
Since Mr. Genereux has not requested a hearing, the evidence of Commission staff in the particulars attached to the Notice is uncontested.
The evidence can be summarized as follows. On April 3, 2013, Mr. Genereux submitted an on-line application for a renewal of his insurance agent licence. On that application Mr. Genereux indicated that he had not completed 30 hours of Continuing Education (“CE”) credits during the previous two years, as is required for the renewal of a licence. After discussion with Commission staff, Mr. Genereux signed Minutes of Settlement on May 20, 2013, wherein he submitted a compliance plan for the completion of his outstanding CE credits by September 1, 2013. Mr. Genereux also acknowledged that if he failed to obtain and submit his proof of CE compliance the Superintendent would issue a Notice to revoke or suspend and/or impose terms and conditions on his insurance agent licence. In accordance with the Minutes of Settlement, Mr. Genereux’s licence was renewed.
Mr. Genereux did not submit any proof of CE credits to the Commission by the September 1, 2013 deadline. A Commission Licensing & Registration Specialist attempted to contact Mr. Genereux by e-mail on September 18, 2013, and September 23, 2013, requesting that he submit proof of the CE credits needed to satisfy the Minutes of Settlement. Genereux did not respond to the email.
On October 24, 2013, a Commission Regulatory Discipline Officer sent a letter to Mr. Genereux by both registered mail and e-mail explaining the repeated attempts to contact Mr. Genereux in regards to the CE credits and the Minutes of Settlement, but no response was received.
Findings of Fact:
I find that Mr. Genereux repeatedly failed to respond to requests for information from the Commission. Commission staff made several requests by letter, email and telephone. The January 2, 2014 Notice that was sent via registered mail was returned to the Commission by Canada Post with the inscription “unclaimed”. Another registered letter was sent to a second address for Mr. Genereux on May 23, 2014. This letter was also returned to the Commission with the inscription “unclaimed”.
I find that Mr. Genereux has failed to comply with the CE requirements. Mr. Genereux admitted that he had not done so and failed to provide evidence of compliance thereafter.
In the absence of testimony by Mr. Genereux, I am not aware of any explanations for his behaviour or mitigating circumstances.
Decision:
I have found that Mr. Genereux did not comply with the CE requirement and has failed to respond to information requests from the Commission.
Sections 442.1 and 442.3 of the Act permit the Superintendent to direct an inquiry to an agent and require the agent to give the Superintendent full information about any matters as may be specified by the Superintendent.
Section 14 of Ontario Regulation 347/04 (the Regulation) requires that an individual who holds an insurance agent licence complete at least 30 hours every two years of continuing education acceptable to the Superintendent. Mr. Genereux failed to provide proof that he has remedied that deficiency in accordance with the May 20, 2013 Minutes of Settlement, and is therefore in contravention of a requirement of his insurance agent licence.
Refusing to co-operate with Commission staff or to offer any explanation is a serious breach of the Act, and demonstrates an unwillingness to being regulated and a lack of suitability to hold an insurance agent licence within the meaning of section 4(1)(i) of the Regulation
Insurance agents must be governable and amenable to being regulated. In this case, Mr. Genereux failed to meet his obligation to respond to information requests from the Commission about his compliance with the CE requirement, and is not suitable to hold a licence as an insurance agent. A penalty is therefore warranted.
Findings of unsuitability frequently result in the revocation of an insurance agent licence. Accordingly, I believe that the appropriate penalty is revocation of Mr. Genereux’s licence as an insurance agent.
ORDER
The life insurance and accident and sickness insurance agent licence of Marcel Genereux is hereby revoked.
DATED at Toronto, Ontario, February 10, 2015.
_______________________________________________
Anatol Monid
Executive Director, Licensing & Market Conduct Division
By Delegated Authority from:
The Superintendent of Financial Services
Schedule 1
The following allegations were set out in the Notice:
ALLEGATIONS
1. Genereux has demonstrated that he is unsuitable to transact the business of a life and accident and sickness insurance agent, contrary to Regulation 347/04, in the following ways:
a. Contrary to s.4(1)(i), Genereux is unsuitable, having failed to satisfy the requirements of agreed upon in his May 20, 2013 Minutes of Settlement with the Superintendent of Financial Services (the “Superintendent”);
b. Contrary to s.4(1)(i), Genereux is unsuitable because he is ungovernable and not amenable to regulation, having failed to promptly respond to and properly follow up on attempts by FSCO staff to contact him by phone, registered mail, and e-mail; and
c. Contrary to s.14, Genereux has failed to complete the required 30 hours of continuing education (“CE”) credits during his previous licencing period, has failed to provide proof that he has remedied that deficiency in accordance with the May 20, 2013 Minutes of Settlement, and is in contravention of a requirement of his licence.
2. Such other allegations that FSCO may advise.