The new president of the Canadian Association of Independent Life Brokerage Agencies (CAILBA), Phil Marsillo, called on Canada's managing general agencies (MGAs) to mobilize around the association to build a unified and strong voice to address the challenges facing independent life insurance distribution.
Moving between notes of humor and seriousness, Marsillo delivered his thoughts before some 280 attendees gathered at the annual association convention. He also announced that it was a record attendance. The event took place in Quebec City from April 17 to 19. Marsillo is also president at IDC Worldsource Insurance Network Inc.
Marsillo presented a loaded roadmap, admitting that he was not naive enough to believe that everything will be done just because he said so. At the same time, he praised the work already accomplished by CAILBA administrators and employees. He particularly emphasized the work of Michael Williams, who worked for nine years as president, "for certainly more than an hour per month," the new president said. Williams is now chief operating officer of TruStone Financial Inc.
It is precisely because of the work to be done that Marsillo called for mobilization. The association has 54 MGAs, he said, but it needs even greater representation. The president wants CAILBA to attract more regional general agents, niche players, and those smaller than the already-member giants. He sees these agencies becoming ambassadors of the organization's values. He also wants to hold regional events and even a webinar each year to get closer to the different regions.
More, he said CAILBA can no longer rely on a 10-member board to do what needs to be done. Will it be raised to 20? Should regulators participate? That remains to be seen, he said, but added that board members are already considering the creation of sub-committees and divisions. They are counting on the participation of carriers and even national accounts, those securities firms that offer insurance through financial security advisors. New members will influence the discussion, he added.
Marsillo sees CAILBA working with all industry stakeholders. "It is certainly not us versus them," he said. "We are all in the same industry, and we all share the same business issues," he said. "We can share our best business practices without revealing our respective secrets."
CAILBA also needs to communicate more and be more transparent, Marsillo said. The association also needs continuity. It thus wants to extend the term of engagement for directors on the board to a period of three years. As for who will ensure representation in the public square? Marsillo says CAILBA probably needs a full-time president like the Conference for Advanced Life Underwriting (CALU), Advocis, and the Independent Financial Brokers of Canada (IFB). It remains to be seen, he said, adding at the same time, "It won't be me!"
"We all believe in the advice," Marsillo said. "But what does that mean?" The same question arises for CAILBA. How to become even more relevant? How to do things differently? What are CAILBA's strategic values? These are all questions that need to be asked and answered.
In recent years, the administrators have accomplished great projects, Marsillo stressed. This was the case with issues surrounding the Goods and Services Tax (GST) on general agents' income, compliance toolkits for members, and formulations in contracts with carriers.
In a way, it is an opportunity to find a new breath, he explained, while building on the work done.
It will be important to do so given the importance of independent distribution, Marsillo added, recalling some important statistics: It represents 75 per cent of all life insurance premiums produced in Canada. Overall, the industry paid out $113-billion in personal health and dental insurance claims and about $9-billion in death benefits. Marsillo then challenged attendees to share these figures, saying no one talks about them enough.
The president invited participation in the next congress from June 4 to 6, 2024, in Whistler, in British Columbia.
