Personal Coverage

Coverage A Pricing

Current Rates/Options

  • 2017/2018 Program Rates
  • 2018/2019 Program Rates
Limit of Liability each Claim/Aggregate Annual Base Premium/APA Deductible Fund Contribution APA Sponsorship Fee (Advocis members discount fee by $30) ABS Broker Fee Total (excluding applicable taxes)
$1M / $2M $596.00 $85.00 $125.00 $806.00
$2M / $2M $688.00 $85.00 $125.00 $898.00
$3M / $3M $888.00 $140.00 $125.00 $1,153.00
$4M / $4M $1,136.00 $160.00 $125.00 $1,621.00
$5M / $5M $1,504.00 $185.00 $125.00 $1,814.00
Limit of Liability each Claim/Aggregate Annual Base Premium/APA Deductible Fund Contribution APA Sponsorship Fee (Advocis members discount fee by $30) ABS Broker Fee Total (excluding applicable taxes)
$1M / $2M $596.00 $85.00 $125.00 $806.00
$2M / $2M $688.00 $85.00 $125.00 $898.00
$3M / $3M $888.00 $140.00 $125.00 $1,153.00
$4M / $4M $1,136.00 $160.00 $125.00 $1,621.00
$5M / $5M $1,504.00 $185.00 $125.00 $1,814.00

* The ABS Broker Fee is $125 for applications made on-line. For applications made outside the website, the fee is $175.

Manitoba

For all Limit each Claim options noted in the table above ($1M to $5M), the Aggregate limit is $5M in accordance with ICM regulations for Life licensed agents (these limits also will apply to certificates issued to Mutual Fund licensed agents). 

All premiums and fees are the same as noted in the table above.
Mandatory Fraudulent Acts Endorsement for Life licensed / Accident and Sickness agents for those domiciled and/or licensed in Provinces where regulated is included at no additional charge.

 

Rating Territories and Limits:

Rates for Coverage A & D are the same for all provinces and territories. Limits of insurance are offered based on regulatory requirements of provincial life insurance regulatory bodies. If you are a licensed broker (either or both of Life insurance and or Mutual Funds) or are operating in more than one province, your coverage limit will automatically be arranged on the basis of the province with the highest liability limit aggregate requirement. For example, if you are licensed for either or both of Life insurance and or Mutual Funds in Ontario and Manitoba and wish to purchase a $1,000,000 each Claim limit for Coverage A, your coverage limit will automatically be arranged on the basis of $1M each Claim / $5M Per Policy Period (Aggregate) liability limits rather than $1M / $2M (the higher aggregate limit is required by the Insurance Council of Manitoba).

Notes about the Premiums and Fees:

The Annual Base Premium and APA Deductible Fund Contribution are payable, respectively, to the APA E & O plan insurer, and to the Advocis Protective Association (APA). The amounts retained by each party are declared in each Certificate Holder’s individual Certificate of Insurance, issued following binding of coverage. The APA Deductible Fund Contribution is retained in a Trust maintained by the APA to fund the difference between each Certificate Holders’ individual policy deductible and the first $100,000 of each claim made under the policy, payable by the APA on behalf of the Certificate Holder, until an annual aggregate equivalent to all APA E & O Plan Certificate Holders’ Deductible Fund Contributions are received during the Master Policy period. The annual base premium is retained by the APA E & O Plan insurer to fund claims over and above $100,000 each claim and over and above the prescribed annual aggregate amount. The Trust is fully funded by Certificate Holders’ Deductible Fund Contributions, and no further obligation to fund claims is required by Certificate Holders beyond the individual policy deductible as stated in each Certificate of Insurance. For more information about the Deductible Fund Trust, please click on the “About the APA” link at this site, or contact the APA.

The ABS Broker Fee is $100 for applications made on-line. For applications made outside the website, the fee is $150.

8% provincial sales tax applies to the ABS Broker Fee for Ontario and *Manitoba residents, and 9% for Quebec residents. Sales tax applies to the Base Premium, but not to the Deductible Fund Contribution. The APA Sponsorship Fee is subject to either Harmonized Sales Tax (HST) or Goods and Services Tax (GST,) depending on your province/territory of residence. 

HST applies as follows:     NS: 15%; PE: 14%; ON, NB and NL: 13%
GST applies as follows:     AB, BC, MB, NT, NU, QC, SK, YK: 5%

*MB sales tax increased from 7% to 8% for certificates issued Jul. 1/13 or later

*Effective for certificates incepted or renewed on or after April 1, 2013, BC residents pay 5% GST on APA Fee portion of total cost of insurance (amended from 12% HST); PE residents pay 14% GST on APA Fee portion of total cost of insurance (amended from 5% GST) 

Don’t forget to check for Discounts!

Premiums noted below do not include any applicable discounts Check below to see if you are eligible for further savings:


•  Protect Your Practice Seminars

Check your local Advocis chapter for the next seminar and save 5% on your premium – discount good for three consecutive years!


•  New Advisor Discounts

If you were first licensed in the past two years, you may be eligible for a 15% discount on your premium – conditions apply – contact ABS Inc. our program administrator for details


•  Corporate Partner & Corporate Sponsor Discounts

If you are a licensed agent and contracted with a firm that is an Advocis Corporate Partner or Corporate Sponsor, you will receive a 10% premium discount! When applying, simply indicate the firm name and your Promotion Code (as advised by the firm). Applies to Coverage A, B and D only.


•  Advocis members save $30 on APA Sponsorship fees noted below in the rating tables!

Compensation
As the administrator of the APA Errors & Omissions Insurance program, ABS Inc. is compensated for the services provided to participants. These services include, but are not limited to, ongoing costs associated with the APA insurance program website, processing of applications and certificates of insurance, both through the website and by other means, credit card processing charges, and professional advice and assistance provided by ABS Inc. to participants on an ongoing basis. Compensation to ABS Inc. includes the following:
Broker Fee: cost per applicant, as listed above
Commission: 2% of premiums payable by the program insurer, Liberty Mutual Insurance Company
APA Sponsorship Fee: The Advocis Protective Association (“APA”) is a non-profit organization, wholly owned by The Financial Advisors Association of Canada (“Advocis”). The APA’s Board includes financial advisors in your peer group. The APA’s function is to support and administer the APA Sponsored Professional Liability insurance plan for financial advisors, including Advocis members and non-members. The APA Sponsorship Fee covers the costs of plan administration.

Refund Policy

The policy for refund of premiums paid is part of the Master Insurance Policy and should be referred to you by policy year.

The current Master Policy states that:

If the Sponsoring Organization, Insured or Policyholder cancels, earned premium shall be the customary short rate amount of the annual premium. If the Insurer cancels, earned premium shall be the pro rata amount of the annual premium. Premium adjustment may be made at the time cancellation is effected and, if not then made, shall be made as soon as practicable after cancellation becomes effective. The Insurer's cheque or the cheque of its representative mailed as aforesaid shall be sufficient tender of any refund of premium due to the Insured, provided that if at the time of cancellation the policy limit for the indemnity period involved has been exhausted, the entire premium shall be considered earned. However, any individual Certificate of Insurance may be cancelled by the Insurer as aforesaid by giving not less that fifteen (15) days notice in the event of nonpayment of premium by any individual Insured.

Refund of APA Deductible Fund Contributions

The undersigned applicant acknowledges and agrees that the APA has no obligation to refund Deductible Fund Contributions, in whole or in part, made by the undersigned arising from favourable individual certificate holders’ loss experience, nor as a consequence of terminating insurance coverage under the APA E&O plan at any time.

Refund of Broker Fee

Any Brokers Fee(s) payable to Advocis Broker Services Inc. are deemed to be fully earned at the time of payment and are non-refundable.

 

Refund of APA Sponsorship Fee

Any Fee(s), including but not limited to the APA Sponsorship Fee, payable to the Advocis Protective Association are deemed to be fully earned at the time of payment and non-refundable.