A simple administrative error, followed by a series of subsequent misunderstandings, landed a life insurance agent a fine for practising without a license for almost a year.
Donald Kelloway had been licensed to sell accident, health and sickness insurance in Alberta since 1996, except for one period between February 16, 2012 and January 13, 2013.
During this year-long period, he sold five policies and collected $6,510 in commissions from Great West Life Assurance Company and Canada Life Insurance Company of Canada.
The Insurance Council of Alberta reviewed Kelloway’s application for his license to sell accident, health and sickness insurance on January 8, 2013. During its review, council discovered that he had been acting as an agent without a license for approximately a year.
Kelloway thought he had renewed his licenses online.
His assistant also believed that he had renewed his licenses online and inadvertently handed copies of the 2011-12 renewals to the region office administrator thinking that they were the 2012-13 licenses.
The region office administrator, also believing they were the 2012-2013 renewals, submitted the documents to the insurance company.
“As a result they all thought he had renewed his licenses,” the council found in its decision.
Council fined the agent $300.
