Compliant customer files

CUSTOMER FILES & DOCUMENT RETENTION

In order to comply with the requirements for creating and maintaining a complete client file, you must adhere to the following guidelines:

Obtain the customer's consent to collect, use, disclose, and retain their personal information.

Obtenir l’autorisation du client afin de recueillir, d’utiliser, de divulguer et conserver les renseignements personnels le concernant.

Collect customer data from the customer themselves and refrain from disclosing it to third parties unless you have obtained the customer's prior consent.

Recueillez les données sur le client auprès du client lui même et abstenez-vous de les divulguer à des tiers si vous n’avez pas obtenu l’autorisation du client au préalable.

Privacy laws grant customers certain rights of access to their files. Only keep data in your files that is relevant and required for your business relationship with customers.

Les lois sur la protection de renseignements personnels accordent aux clients certains droits d’accès à leurs dossiers. Conservez uniquement dans vos dossiers les données pertinentes requises dans le cadre de vos relations d’affaires avec les clients.

Collect and retain only the information required to perform your duties, i.e., information used to determine your client's needs, recommend appropriate products, and provide ongoing service. You are personally responsible for the information entered into the files. Do not retain any information that is not necessary to perform the above tasks.

Recueillez et conservez uniquement les renseignements requis dans l’exercice de vos fonctions, soit ceux qui servent à déterminer les besoins de votre client, à lui recommander les produits adéquats et à lui fournir un service continu. Vous êtes personnellement responsable des renseignements versés aux dossiers. Ne conservez aucun renseignement non nécessaire pour accomplir les tâches précitées.

Keep customer files in a secure location and ensure that information remains confidential. Do not leave personal customer data in plain sight. Use a shredder when disposing of documents containing personal customer information.

Conservez les dossiers des clients en lieu sûr et assurez la confidentialité des renseignements. Ne laissez pas de données personnelles sur les clients à la vue d’autres personnes. Utilisez une déchiqueteuse lorsque vous vous départissez de documents faisant état de renseignements personnels sur les clients.

ITEMS TO KEEP ON FILE

The client file should contain the following information:

Client consent required for confidential information
Disclosure of information concerning advisors, signed by the client
Factual inquiry (client’s name, date of birth, address, telephone numbers, email address)
Needs analysis
Advisor’s proposals and recommendations. Sample letters: explanatory letter (Equitable reference)
Documentation when the client decides not to follow the recommendations
Investment risk assessment (investor profile)
Examples of life insurance policies in force that have been discussed or reviewed with the client, with additional notes or comments attached to the example
Sales materials or examples of products used in presentations
Copy of the form completed at the time of insurance policy replacement
Copies of proposals for savings, investment, and retirement income products, if applicable.
Date of signature of the proposal or service request, method(s) and date(s) of payment for the product sold or service rendered*
Example of the policy in force at the time of issuance, accompanied by the acknowledgment of receipt of the policy signed by the client
Copies of subsequent transaction forms
Limited transaction authorizations and MTA (Multiple Transaction Authorization) forms
Forms relating to various transactions or requests (e.g., requests for use of funds, requests for participation or loans, premium holiday forms, customer service requests)
Copies of correspondence (from the advisor, client, or head office), including emails, letters, and faxes
Summary of discussions or interviews with the client
Record of telephone conversations, including the date and nature of the call, and unsuccessful attempts to reach the client, to verify the steps taken to provide adequate service.
Documentation of client concerns and complaints
Group files: name of the policyholder, contact person at the policyholder’s, bids and calls for tenders
Financial planning files (PI.fin.): Financial planner’s mandate and report*

*A requirement in Quebec only

References:
Sample Letter of Agreement
Sample Confidentiality and Consent Statement
Reference section “Compliance” on the Empire Life website

ITEMS NOT TO BE KEPT ON FILE

The customer file should not contain the following information under any circumstances:

Information and documents that are not necessary for the performance of your duties as a financial security advisor should not be included in client files.

Information that should not be included includes, but is not limited to, the following:

Copies of life insurance applications (in whole or in part) containing medical or lifestyle information
The original insurance policy or policies
Wills
Powers of attorney
Marriage certificates
Income tax returns or notices of assessment
Mortgage documents or title deeds

IN FRENCH, PLEASE!

New requirements regarding the use of French

In June 2022, legislative changes relating to the use of French, particularly for businesses, were introduced. The Quebec government passed Bill 14, formerly known as Bill 96, which protects and promotes French as the official language of Quebec.

Since June 2023, it has been essential for businesses to comply with the new requirements.

Essentially, the main provisions that apply to you concern the language in which a document must be provided to a customer:

When it comes to membership agreements and related documents, they must be provided in French. Anyone who signs a mandate or obtains services from you must therefore obtain a French copy of the mandate and related documents (for the mandate or services you offer) and then obtain the documents in English if they wish.
Internal communications between you and the client do not have to be in French if the client wishes to communicate in another language. (The client must request to receive the documents in English, and the advisor must record the client’s communication preference for future communications.)

New features for your English-speaking customers in Quebec

Contracts and other related documents will first be presented in French, then in English.
New clients will be required to confirm that they have received the necessary documents in French and English, and that they choose to proceed in English. This information will be recorded in the client’s file for future communications.

In addition, we recommend that you create a receipt acknowledgment document for each customer, which you will keep in their files. This will demonstrate that the documents in French have been delivered to the customer in accordance with the law.