The Insurance Council of British Columbia (ICBC) recently released a hearing decision penalizing Zuo Chun (Remy) Xu, a licensed life agent, for breaching the ICBC’s code of conduct.
The decision says that Xu, who was first licensed in July 2014, was offering administrative support to a fellow licensee between August 2, 2017, and September 20, 2017, while awaiting renewal of his licence.
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Xu approached the client in the case in July 2017 to discuss insurance products, advising of tax benefits if the products were placed under the client’s registered company.
However, in the following month, Xu realized his licence had lapsed, so he referred his client to the colleague for whom he was providing administrative support.
The council decision says that Xu indeed stayed away from conducting insurance business while his licence renewal was being processed. Hence, Xu’s licensed colleague issued the client’s policies.
However, on October 25, 2017, after licence renewal, Xu represented his fellow licensee at a meeting with the client to sign the acknowledgement of policy received form and accept delivery of policies.
At that time, Xu witnessed a signature by the client’s son (the insured party), who was not present at the meeting. According to the council, witnessing the signature when Xu did not in fact witness the person signing the document was a deviation from the usual practice of the business of insurance.
In the council’s view, Xu did not act with competence, in a trustworthy manner and in good faith to the client named as the insured.
He was fined $1,000 and $1,662.50 in costs, with both amounts to be paid by October 30, 2023, if Xu wants to avoid licence suspension.
