Agent Commissions Regulation

Agent Commissions Regulation, M.R. 93/2009 The Manitoba Public Insurance Corporation Act , C.C.S.M. c. P215 Regulation 93/2009 Registered May 5, 2009 bilingual version (HTML) Table of Contents Section 1 Definitions 2 Meaning of other words and expressions 3 Agents' commissions 4 When commissions are not payable 5 Effect of deficient remittance on commissions 6 When commissions must be paid 7 Annual adjustment of flat-fee commissions 8 Coming into force Schedule A B Definitions 1 The following definitions apply in this regulation. "Act" means The Manitoba Public Insurance Corporation Act . («  Loi  ») "commission period" means (a) the period ending on October 31, 2009; (b) the period beginning on November 1, 2009, and ending on October 31, 2010; (c) the period beginning on November 1, 2010, and ending on October 31, 2011; (d) the period beginning on November 1, 2011, and ending on October 31, 2012; (e) the period beginning on November 1, 2012, and ending on February 28, 2013; (f) beginning March 1, 2013, the period beginning on March 1 of one year and ending on the last day of February of the next year; (g) the period beginning on March 1, 2021 and ending on March 31, 2021; and (h) beginning April 1, 2021, the period beginning on April 1 of one year and ending on March 31 of the next year. (« période de commission ») "consumer price index" has the same meaning as in subsection 164(2) of the Act. (« indice des prix à la consommation ») "designated agent" , in relation to a multi-year policy of vehicle insurance during (a) its initial multi-year policy period, means the agent that processed the insurance application in relation to which the policy was issued; and (b) its second or a later multi-year policy period, means the agent that processed the renewal application or reapplication in relation to which the policy was issued for the multi-year policy period. (« agent désigné ») "transaction date" means the date on which an agent processes the transaction in the corporation's online computer system. (« date d'opération ») M.R. 26/2021 Meaning of other words and expressions 2 Words and expressions used in this regulation but not defined in it have the meaning given to them in the Automobile Insurance Plan Regulation , Manitoba Regulation 49/2019, or the Automobile Insurance Coverage Regulation , Manitoba Regulation 290/88 R, as may be applicable. M.R. 26/2021 Agents' commissions 3(1) The commissions payable by the corporation to agents for transactions on the corporation's behalf are the commissions set out in Schedule A and B. 3(2) The commission payable to an agent for a particular transaction is the commission, as of the transaction date, set out in the following: (a) subject to section 7, Schedule A; (b) Schedule B. 3(3) The commission set out in Schedule B in respect of an annual rate reassessment for an annual rating term of a multi-year policy is payable to the agent that is the designated agent in relation to the policy. When another agent receives information required by the corporation to complete an annual rate reassessment, that agent is entitled to the fee set out in Schedule B for a change of vehicle class or policy details. 3(4) In respect of a renewal, reapplication, annual rate reassessment, late renewal or reactivation that is performed online by a customer on the corporation's website, the commission set out in Schedule B is payable to the agent identified by the customer when making the transaction. M.R. 26/2021 ; 20/2023 When commissions are not payable 4 No commission is payable to an agent (a) in respect of an overpayment by a customer or a customer's payment of arrears; (b) in respect of the agent's payment of shortages arising from previous deficient remittances to the corporation; (c) on the short-term flat fee for a short-term policy; (d) on the non-owned vehicle insurance flat fee for a non-owned vehicle extension policy; or (e) on an administration fee or other amount in respect of which no commission is provided for in Schedule A or B. M.R. 26/2021 Effect of deficient remittance on commissions 5 If an agent's remittance to the corporation for any or all of the following is deficient: (a) insurance premiums or insurance flat fees; (b) charges for services under The Drivers and Vehicles Act or The Highway Traffic Act ; (c) arrears in respect of an amount referred to in clause (a) or (b); the corporation may, until the agent pays the deficiency to the corporation, withhold the agent's commission on the transactions to which the deficiency relates. When commissions must be paid 6(1) On or before the 10th day of the month after the month in which the transaction date of an agent transaction occurs, the corporation must pay the agent the commission earned by the agent on the transaction. 6(2) Despite subsection (1), if at any point during the corporation's fiscal year or within 31 days after the end of the fiscal year end the corporation becomes aware of an error or omission during the fiscal year in paying commissions to agents, it must, in a timely manner, reconcile the amount of commissions paid to agents in relation to the commission errors or omissions. 6(3) An agent that believes that an error or omission referred to in subsection (2) has affected the corporation's payment of a commission must notify the corporation about the matter in a timely manner. 6(4) Without limiting the generality of subsection (3), the agent must notify the corporation within 31 days after the end of the fiscal year in which the error or omission is alleged to have occurred. Annual adjustment of flat-fee commissions 7(1) The following definitions apply in this section. "base consumer price index" , in relation to (a) the annual adjustment of the flat-fee commissions set out in Schedule A, means the average of the monthly consumer price index values for Manitoba for the period beginning September 1, 2007, and ending August 31, 2008, unless clause (b) applies in respect of the adjustment; or (b) the annual adjustment — in accordance with subsection (5) — of a flat-fee commission the dollar amount of which changes for the commission period beginning March 1, 2013, means the average of the monthly consumer price index values for Manitoba for the period beginning January 1, 2012, and ending December 31, 2012. (« indice de base des prix à la consommation  ») "consumer price index ratio" , in respect of a commission period, is the ratio calculated in accordance with the following formula: A = B ÷ C In this formula, A is the consumer price index ratio for the commission period; B is the average of the monthly consumer price index values for Manitoba for the 12-month period that ends two months before the first month in the commission period; C is the base consumer price index. (« ratio de l'indice des prix à la consommation  ») "flat-fee commission" means a commission set out in Schedule A that is expressed in a dollar amount rather than a percentage. (« commission fixe  ») 7(2) For the purposes of the formula in the definition "consumer price index ratio" in subsection (1), (a) if the value of item A in the formula includes more than three decimals, the first three decimals must be retained and the third decimal must be increased by one if the fourth decimal is more than four; and (b) if the value of item B or C in the formula includes more than one decimal, the first decimal must be retained and must be increased by one if the second decimal is more than four. 7(3) Beginning with the 2009–2010 commission period, the corporation must, annually and in accordance with subsection (4), adjust the flat-fee commissions set out in Schedule A. 7(4) Subject to subsection (5), the commission adjustment for a commission period must be effective the first day of the commission period and be made in accordance with the following formula: A = B × C In this formula, A is the adjusted flat-fee commission for the commission period, rounded to the nearest cent; B is the flat-fee commission for the commission period set out in Schedule A; C the consumer price index ratio for the commission period. 7(5) Despite subsection (3), when Schedule A provides that the flat-fee commission for a transaction changes from one commission period to the next, the corporation is not required to adjust the flat-fee commission in the period of the change. However, the flat-fee commission is subject to adjustment in accordance with subsections (3) and (4) in commission periods after the period of change. M.R. 26/2021 Coming into force 8(1) Subject to subsection (2), this regulation comes into force on the day it is registered under The Regulations Act . Coming into force — certain provisions 8(2) The definition "designated agent" in section 1 and subsection 3(3) come into force on September 1, 2009, or on the day this regulation is registered under The Regulations Act , whichever is later. SCHEDULE A (Section 3) Transaction Category Applicable Registration Class and Insurance Use Transaction Commissions for Commission Period Period Ending Oct. 31, 2009 Nov. 1, 2009 to Oct. 31, 2010 Nov. 1, 2010 to Feb. 29, 2012 Mar. 1, 2012 to June 30, 2012 July 1, 2012 to Aug. 31, 2012 Sept. 1, 2012 to Feb. 28, 2013 Mar. 1, 2013 to Feb. 28, 2014 Mar. 1, 2014 to Feb. 28, 2015 Mar. 1, 2015 to Feb. 29, 2016 Mar. 1, 2016 and following Flat-Fee Insurance Transactions Regular, Commercial or Off-Road Vehicle Transactions: A1, AR, A4, A5, C5, A6, A7, A8, B1, C1, C2 / all applicable uses except Insurance Exempt Change customer information $15 $15 $15 $15 $15 $15 $7 $7 $7 $7 Change vehicle class or policy details $10 $10 $10 $10 $10 $10 $6 $6 $6 $6 Vehicle transfer $10 $10 $10 $10 $10 $10 $6 $6 $6 $6 Estate-to-spouse transfer $10 $10 $10 $10 $10 $10 $6 $6 $6 $6 Plate replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Sticker replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 not applicable Rental car midterm change $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 24.25% of difference in premiums, whichever is more $6 or 24.25% of difference in premiums, whichever is more $6 or 22.75% of difference in premiums, whichever is more $6 or 21.25% of difference in premiums, whichever is more $6 or 19.75% of difference in premiums, whichever is more Vehicle protection midterm change $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whicheveris more $10 or 24.25% of difference in premiums, whichever is more $6 or 24.25% of difference in premiums, whichever is more $6 or 22.75% of difference in premiums, whichever is more $6 or 21.25% of difference in premiums, whichever is more $6 or 19.75% of difference in premiums, whichever is more Off-road vehicle or motorcycle midterm change $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 24.25% of difference in premiums, whichever is more $6 or 24.25% of difference in premiums, whichever is more $6 or 22.75% of difference in premiums, whichever is more $6 or 21.25% of difference in premiums, whichever is more $6 or 19.75% of difference in premiums, whichever is more A1 / Passenger Vehicles, Motorhomes A5, A6, C1 Midterm change "On-Road" to "Lay-Up" or vice-versa $10 $10 $10 $10 $10 $10 $10 $10 $10 $10 A1, A4, A5, A6, A7, A8, B1, C1, AR, C5, C2 / all applicable uses except Insurance Exempt Cancellation $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 All Ownership document (no registration) $8 $8 $8 $8 $8 $8 $8 $8 $8 $8 Document search $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 B3, B7 Single trip weight increase permit $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Temporary registration and insurance certificate $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Transactions under The Off-Road Vehicles Act: B1 (registration exempt vehicles only) New and renewal (flat fees for these transactions do not apply if vehicles are insured under Basic Autopac) $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Semi-Trailer (Registration Only): A8 (excluding Government of Canada vehicles) New registration $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Renewal $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Vehicle transfer $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Plate replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Sticker replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Farm Trucks: A6 Additional commission on transactions for applicants in Territory 2 (not including "Commuter") $6 $6 $6 $6 $6 $6 $6 $6 $6 $6 Passenger Vehicles and A5 and C5 Trucks: A1, AR, A5 and C5 / All applicable uses except Insurance Exempt Additional commission on transactions for applicants in Territory 2 (not including "Commuter") $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Short Term Policies: A1, AR, A4, A5, C5, A6, A8, C1, C2 / all applicable insurance uses except Insurance Exempt Additional commission on insurance transactions for each short term policy not applicable not applicable not applicable not applicable not applicable not applicable $5 $5 $5 $5 Government of Canada and Other State or Province Vehicles: A1, AR, A4, A5, C5, A7, A8, B1, C1, C2 — Government of Canada insurance-exempt vehicles only A1, AR, A4, A5, C5, A7, A8, A9, B1 — Government of Canada crown corporation insurance-exempt vehicles and other state/province-owned insurance-exempt vehicles only A1, AR, A4, A5, C5, A7, A8 — Government of Canada insurance-exempt vehicles only in remote areas Change customer information $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Change vehicle class or policy details $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 New and renewal (flat fees for these transactions do not apply if vehicles are insured under Basic Autopac) $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Vehicle transfer $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Plate replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Sticker replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Cancellation $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Driver's Licence and Driver's Certificate Transactions Issuing Drivers' Licences and Drivers' Certificates: not applicable New application $2, plus 5% of premium $2, plus 5% of premium $2, plus 4% of premium $2, plus 4% of premium $2, plus 3% of premium $2, plus 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium Renewal 5% of premium 5% of premium 4% of premium 4% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium Annual rate reassessment not applicable 5% of premium 4% of premium 4% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium Driver's licence replacement (licence certificate, photo identification card or both) $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Reapplication or reactivation $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Information change (except change of address only) None None None None None None None None None None Cancellation None None None None None None None None None None Air brake test $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Expedited print $4 $4 not applicable not applicable not applicable not applicable not applicable not applicable not applicable not applicable Written test receipt or road test receipt $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Enhanced interview application $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Knowledge test application $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Practical test application $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Driver education application not applicable not applicable $4 $4 $4 $4 $4 $4 $4 $4 New Customer Transactions not applicable Customer set-up not applicable $20 --> Transaction Category Applicable Registration Class and Insurance Use Transaction Commissions for Commission Period       Period Ending Oct. 31, 2009 Nov. 1, 2009 to Oct. 31, 2010 Nov. 1, 2010 to Feb. 29, 2012 Mar. 1, 2012 to June 30, 2012 July 1, 2012 to Aug. 31, 2012 Sept. 1, 2012 to Feb. 28, 2013 Mar. 1, 2013 to Feb. 28, 2014 Mar. 1, 2014 to Feb. 28, 2015 Mar. 1, 2015 to Feb. 29, 2016 Mar. 1, 2016 and following Flat-Fee Insurance Transactions   Regular, Commercial or Off-Road Vehicle Transactions: A1, AR, A4, A5, C5, A6, A7, A8, B1, C1, C2 / all applicable uses except Insurance Exempt Change customer information $15 $15 $15 $15 $15 $15 $7 $7 $7 $7 Change vehicle class or policy details $10 $10 $10 $10 $10 $10 $6 $6 $6 $6 Vehicle transfer $10 $10 $10 $10 $10 $10 $6 $6 $6 $6 Estate-to-spouse transfer $10 $10 $10 $10 $10 $10 $6 $6 $6 $6 Plate replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Sticker replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4   not applicable Rental car midterm change $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 24.25% of difference in premiums, whichever is more $6 or 24.25% of difference in premiums, whichever is more $6 or 22.75% of difference in premiums, whichever is more $6 or 21.25% of difference in premiums, whichever is more $6 or 19.75% of difference in premiums, whichever is more Vehicle protection midterm change $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whicheveris more $10 or 24.25% of difference in premiums, whichever is more $6 or 24.25% of difference in premiums, whichever is more $6 or 22.75% of difference in premiums, whichever is more $6 or 21.25% of difference in premiums, whichever is more $6 or 19.75% of difference in premiums, whichever is more Off-road vehicle or motorcycle midterm change $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 18.5% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 19.75% of difference in premiums, whichever is more $10 or 24.25% of difference in premiums, whichever is more $6 or 24.25% of difference in premiums, whichever is more $6 or 22.75% of difference in premiums, whichever is more $6 or 21.25% of difference in premiums, whichever is more $6 or 19.75% of difference in premiums, whichever is more   A1 / Passenger Vehicles, Motorhomes A5, A6, C1 Midterm change "On-Road" to "Lay-Up" or vice-versa $10 $10 $10 $10 $10 $10 $10 $10 $10 $10   A1, A4, A5, A6, A7, A8, B1, C1, AR, C5, C2 / all applicable uses except Insurance Exempt Cancellation $4 $4 $4 $4 $4 $4 $4 $4 $4 $4   All Ownership document (no registration) $8 $8 $8 $8 $8 $8 $8 $8 $8 $8 Document search $4 $4 $4 $4 $4 $4 $4 $4 $4 $4   B3, B7 Single trip weight increase permit $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Temporary registration and insurance certificate $4 $4 $4 $4 $4 $4 $4 $4 $4 $4     Transactions under The Off-Road Vehicles Act: B1 (registration exempt vehicles only) New and renewal (flat fees for these transactions do not apply if vehicles are insured under Basic Autopac) $4 $4 $4 $4 $4 $4 $4 $4 $4 $4     Semi-Trailer (Registration Only): A8 (excluding Government of Canada vehicles) New registration $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Renewal $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Vehicle transfer $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Plate replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Sticker replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4     Farm Trucks: A6 Additional commission on transactions for applicants in Territory 2 (not including "Commuter") $6 $6 $6 $6 $6 $6 $6 $6 $6 $6     Passenger Vehicles and A5 and C5 Trucks: A1, AR, A5 and C5 / All applicable uses except Insurance Exempt Additional commission on transactions for applicants in Territory 2 (not including "Commuter") $4 $4 $4 $4 $4 $4 $4 $4 $4 $4     Short Term Policies:   A1, AR, A4, A5, C5, A6, A8, C1, C2 / all applicable insurance uses except Insurance Exempt Additional commission on insurance transactions for each short term policy not applicable not applicable not applicable not applicable not applicable not applicable $5 $5 $5 $5     Government of Canada and Other State or Province Vehicles: A1, AR, A4, A5, C5, A7, A8, B1, C1, C2 — Government of Canada insurance-exempt vehicles only A1, AR, A4, A5, C5, A7, A8, A9, B1 — Government of Canada crown corporation insurance-exempt vehicles and other state/province-owned insurance-exempt vehicles only A1, AR, A4, A5, C5, A7, A8 — Government of Canada insurance-exempt vehicles only in remote areas Change customer information $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Change vehicle class or policy details $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 New and renewal (flat fees for these transactions do not apply if vehicles are insured under Basic Autopac) $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Vehicle transfer $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Plate replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Sticker replacement $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Cancellation $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Driver's Licence and Driver's Certificate Transactions   Issuing Drivers' Licences and Drivers' Certificates: not applicable New application $2, plus 5% of premium $2, plus 5% of premium $2, plus 4% of premium $2, plus 4% of premium $2, plus 3% of premium $2, plus 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium Renewal 5% of premium 5% of premium 4% of premium 4% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium Annual rate reassessment not applicable 5% of premium 4% of premium 4% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium 3% of premium Driver's licence replacement (licence certificate, photo identification card or both) $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Reapplication or reactivation $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Information change (except change of address only) None None None None None None None None None None Cancellation None None None None None None None None None None Air brake test $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Expedited print $4 $4 not applicable not applicable not applicable not applicable not applicable not applicable not applicable not applicable Written test receipt or road test receipt $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Enhanced interview application $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Knowledge test application $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Practical test application $4 $4 $4 $4 $4 $4 $4 $4 $4 $4 Driver education application not applicable not applicable $4 $4 $4 $4 $4 $4 $4 $4 New Customer Transactions not applicable Customer set-up not applicable $20 SCHEDULE B (Section 3)