Insurance Business (Cooperative Credit Associations) Regulations

6 (1) An association shall not, in relation to its business in Canada, promote an insurance policy of an insurance company, agent or broker, or a service in respect of such a policy, unless

• (a) the policy is of an authorized type of insurance or the service is in respect of such a policy;

• (b) the policy is not of an authorized type of insurance and

  • (i) is restricted to insuring the risks of the association, a local cooperative credit society that is a member of the association or an affiliate of the association, and

  • (ii) does not in any way insure the risks of a customer arising from a transaction with the customer.

• (c) the policy is to be provided by a corporation without share capital, other than a mutual insurance company or fraternal benefit society, that carries on business without pecuniary gain to its members and the policy provides insurance to a natural person in respect of the risks covered by travel insurance;

• (d) the policy is a personal accident insurance policy and the promotion takes place outside an office of a local cooperative credit society or a branch of a retail association;

• (e) the service is in respect of a policy referred to in paragraph (c) or a policy referred to in paragraph (d) that is promoted in the manner described in that paragraph; or

• (f) the promotion takes place outside an office of a local cooperative credit society or a branch of a retail association and is directed to a group of persons referred to in any of subparagraphs 5(b)(i) to (iii).

(2) Despite subsection (1) and section 5, an association may exclude from a promotion referred to in paragraph (1)(f) or 5(b) any person

• (a) in respect of whom the promotion would contravene an Act of Parliament or of the legislature of a province;

• (b) who has given written notice to the association or to a body corporate that is part of the cooperative credit system and that is involved in the promotion, that the person does not wish to receive promotional material from the association or the body corporate;

• (c) who is the holder of a credit or charge card referred to in subparagraph 5(b)(i) and in respect of which the account is not in good standing; or

• (d) who is a member of a local cooperative credit society that has notified the association in writing that it does not wish its members to receive any promotional material from the association.