In separate cases, the General Insurance Council of Saskatchewan (GICS) and the Life Insurance Council of Saskatchewan (LICS) have each levied penalties against agents for failing to maintain errors and omissions (E&O) insurance and for making material misstatements on renewal applications.

In the first case, the general insurance council fined Rocking G Enterprises Inc. $578 and ordered the firm to pay costs in the amount of $330 for being without insurance for 34 days.

The agency is a crop hail insurance broker since May 2024. Its designated representative, Kim Gerencser says the renewal was overlooked as hail insurance sales were not possible until insurance companies opened their sales window in mid-May. “I erroneously didn’t give the E&O renewal sufficient attention by April 1 for that reason,” the designated representative wrote in an email to the council in May 2025.

In the second case, the life insurance council fined Gary H. Clark Insurance Consultants Ltd., $1,500 for Clark’s own 21-day E&O lapse, plus $300 for making a material misstatement and investigation costs totalling $440. Clark was also sanctioned for failing to respond to inquiries from the council.

Both licensees were sanctioned for making a material misstatement, agreeing that they’d maintained sufficient E&O coverage for their businesses on renewal applications filed with the insurance councils.

Different requirements

In life insurance sales in Saskatchewan, they say every business that applies for or holds an insurance agent’s life, accident and sickness insurance license must maintain a valid E&O policy and provide proof of insurance annually. The coverage must include $1-million for any one occurrence and a minimum aggregate limit of $1-million with respect to all occurrences within a year and $1,000 extended coverage for loss resulting from fraudulent or dishonest acts.

For crop hail insurance agents, meanwhile, the council requires a policy that provides $250,000 coverage with respect to any one occurrence and minimum aggregate limit of $500,000 with respect to all occurrences within a year.

In both cases, the policies must cover the licensee’s insurance activities and be underwritten by an insurance company licensed to do business in Canada.