In a pair of recent decisions, the Alberta Insurance Council has levied fines against an agent and a car dealership, respectively, after both failed or refused to provide information and documentation requested by the council through a formal demand for information.
In one case, the insurance council’s investigation arose out of the dealership’s failure to provide information to its licensing department when it replaced its designated individual. In another, the agent failed to provide information about her termination for cause when called on to do so by the regulator.
In the car dealership case, registered mail was returned and voicemail inboxes remained unable to take messages during the period the council attempted to get in touch with the dealership.
“In accordance with the instructions of the Alberta Insurance Council, the dealership updated its errors and omissions insurance within the register. However, the dealership continued to fail to respond to the council with respect to the replacement of the designated individual for the dealership,” the insurance council writes in its decision. “Given that the dealership failed to respond to the report but updated its errors and omissions insurance information within the register, council is of the opinion that the dealership willfully or negligently chose not to respond or to acknowledge the demand for information.” The regulator levied a civil penalty in the case, ordering Budget Auto Sales to pay a civil penalty of $1,000.
In the case of Danica Taylor, the agent did not respond to a demand sent by registered mail. The council levied a $750 fine in the case.
