The Applicant, a licensed life insurance agent, failed to maintain errors and omissions (E&O) insurance for approximately 10.5 months after leaving the industry without formally surrendering his licence.
The Superintendent of Financial Services issued a Notice of Proposal to impose an administrative monetary penalty (AMP) of $1,800.
The Financial Services Tribunal found that the Applicant contravened the E&O requirement and that an AMP was appropriate to promote compliance.
However, considering the Applicant's negligence rather than intentional misconduct, the minimal potential harm, and the modest economic benefit derived, the Tribunal reduced the penalty to $1,000.
