Update on Act Review Process

Earlier this week, CCUA met with Ben Trifts, the FCNB lead on the Credit Union Act Review, to discuss the Act review process and feedback timeline. FCNB indicated that all issues of interest to credit unions be included in the September 30 submission, along with legislative examples where appropriate. FCNB also committed to provide CCUA and CUMA with feedback on the submitted recommendations by mid-November.

CCUA will be in touch in the coming days to discuss CEO availability to advance the drafting of recommendations.

Incidental Selling of Insurance Adoption Notice

On July 4, FCNB released the final adoption bulletin indicating approval of Rule INS-001 Insurance Intermediaries Licensing and Obligations and Rule INS-002 Insurance Fees. Over the last two years, NB CUMA has submitted two consultations on this issue. CCUA is reviewing the final language and will provide CUMA with our analysis by the end of this week. Although the language is now approved, the coming into force date of will be proclaimed in Bill 33 An Act to Amend the Insurance Act. We will monitor this Bill and advise when a coming into force date is released. To read the full adoption notice, which includes FCNB’s responses to feedback, click here.

Principles of Conduct for Insurance Intermediaries

FCNB’s Insurance Division recently issued a bulletin titled Insurance Bulletin 2022-01 – Principles of Conduct for Insurance Intermediaries. The bulletin states that FCNB’s Insurance Division expects insurance intermediaries to adopt the Principles of Conduct for Insurance Intermediaries and ensure measures are in place to adhere to them. The full text of the Principles is online here, and the bulletin is here. CCUA is reviewing the bulletin to determine whether credit unions are expected to adhere to the Principles. We will also review whether the Principles overlap with the requirements outlined in the Market Conduct Code. We plan to share our review with credit unions shortly.

FCNB Expands Deposit Insurance Coverage

On July 13, FCNB announced that effective July 1, 2022, members of New Brunswick credit unions insured with NBCUDIC will now receive insurance coverage for their Registered Disability Savings Plans (RDSPs), Registered Education Savings Plans (RESPs) and term deposits for Canadian and foreign currencies with an original term to maturity of more than five years. The deposit protection insurance covers up to $250,000 for each category of savings product and up to $1,500,000 for a maximum of four savings products. To read the full press release, click here.

Nova Scotia

Powers of Attorney Act Amendments Proclamation

On July 6, Nova Scotia proclaimed amendments for the Powers of Attorney Act (POA), the first significant changes to this legislation since the Act was introduced in 1988. The Province has signaled that additional amendments to the legislation are planned, and the next phase will include consultations. CCUA will monitor the progress of the next round of consultations and solicit credit union feedback if we determine there is an impact on the system. Click here to read the proclamation press release.

Zach Churchill Elected New Liberal Leader

Yarmouth MLA Zach Churchill was elected leader of the Nova Scotia Liberal Party on Saturday, July 9. CCUA will send a congratulatory letter with our priorities in the coming weeks. Click here to read media coverage on Churchill’s win.