You can purchase insurance from the following companies:
- a broker of insurance
- a broker of insurance
- a provider of insurance
- a financial establishment (for certain insurance products)
- a lender or vendor who is not licensed (for certain insurance products).
Definitions
- Agent: An individual who acts as an agent for an insurance company and sells the company's insurance products. Agents are typically required to hold a license in the province or territory where they conduct business.
- Broker: A person or business that sells insurance products from multiple insurance companies. Brokers are typically required to be registered in the province or territory in which they conduct business.
While most types of insurance can be purchased over the phone, through the Internet, or by mail, life insurance is typically purchased directly from a licensed agent.
In some instances, you do not need to purchase insurance through a licensed insurance agent, broker, or company. For instance, if you apply for auto financing or a home mortgage, the lender may offer to sell you insurance. You are not required to purchase insurance through that vendor and may instead purchase it from another insurer. The unlicensed vendor must explain all of the insurance policy's terms and conditions and inform you of the claims process. The vendor is required by law in Quebec to provide you with a distribution guide outlining the nature and scope of the insurance being offered, as well as any exclusions.
Tip
You may be eligible for a discount if you purchase multiple types of insurance from the same insurance company. For instance, you may qualify for a discount if you purchase both home and auto insurance from the same company. Similarly, certain groups, such as unions and professional associations, have an arrangement with an insurer to provide discounted rates to their members, particularly for multiple insurance products. Consult your employer or affiliated organization.