Nova Scotia’s NDP attacks broker contingent commissions

Nova Scotia’s opposition party, the NDP, has once again taken charge at insurers by adding their voice to the furor surrounding the payment of broker contingency commissions. Citing research carried out by federal regulator, the Office of the Superintendent of Financial Institutions (OSFI), which suggests that the insurance industry paid brokers across the country about $427 million in "special fees" during 2002/3, the NDP notes that insurers were during this time period lobbying for auto product reforms because of runaway costs.The OSFI data offers a breakdown of contingent commission payments made by insurance companies. ING Canada, Economical Insurance Group and The Dominion of Canada General Insurance Co. are shown to have made the highest aggregate payment of contingency fees over the reviewed period.