Ontario's Financial Regulator Takes Enforcement Action Against Two Companies and Individual

Strategic Insights -

The Financial Services Regulatory Authority (FSRA) of Ontario has taken enforcement action against Hinkson, the President and designated agent of Ocean West, for alleged contraventions of the Insurance Act. The FSRA alleges that Hinkson and Ocean West's conduct affords reasonable grounds for belief that they are not suitable to be licensed under the Act. The allegations include acting as insurance agents without a valid license and providing false information to the FSRA. As a result, the FSRA is proposing to refuse to renew their insurance agent licenses and impose a total administrative penalty of $110,000.

Key Takeaways:

  • The FSRA alleges that Hinkson and Ocean West's conduct affords reasonable grounds for belief that they are not suitable to be licensed under the Insurance Act.
  • The allegations include acting as insurance agents without a valid license, contrary to section 2(1) of Ontario Regulation 347/04.
  • The allegations also include providing false information to the FSRA, contrary to subsection 447(2)(a) of the Act.
  • Hinkson and Ocean West have requested a hearing before the Financial Services Tribunal about the FSRA's proposal.
  • The proposed administrative penalties total $110,000, with $60,000 for Hinkson and $50,000 for Ocean West.
  • The FSRA is working to protect consumers through its monitoring and enforcement activities.

Statistics:

  • Total administrative penalty proposed: $110,000
  • Penalty for Hinkson: $60,000
  • Penalty for Ocean West: $50,000
  • Number of companies involved: 1 (Ocean West)
  • Number of individuals involved: 1 (Hinkson)

Sources:

  • Financial Services Regulatory Authority of Ontario (press release dated Sept. 16, 2025)
  • Ontario Regulation 347/04
  • Insurance Act, R.S.O. 1990, c.I.8