By: Luke Jones, Published on August 8, 2018 07:35 AM, Last Update on August 8, 2018 04:37 AM
While many predict insurers will increasingly take a direct approach and leave brokers behind, a move by a major Canadian insurance carrier suggests otherwise. Wawanesa Mutual Insurance Company says it is ceasing its direct sales operations in Quebec and will sell exclusively through select independent brokers.
The province becomes the last market to switch to broker channel exclusivity as Wawanesa Mutual has already taken this route in all other provinces.
In a press release, Wawanesa says the date for the transition is set for Oct. 1. Thereafter, the company will stop direct sales of home and auto insurance and will distribute its products through 11 independent insurance brokers in Quebec. The province will also receive Wawanesa’s commercial insurance solutions, which will also be distributed through the brokers.
The 11 brokers selling Wawanesa insurance will be: AMR Assurances Multi-Risques, Assurancia Venne et Fille, Assurancia Gatineau, Bilodeau Couture Assurances, Bouchard & Associés Solutions d’assurances, Fort Assurances & Avantages Sociaux, Gaudreau Assurances, Gosselin Courtiers d’Assurances, Groupe LCD Assurances, Le Groupe LePelco and Assurances 3G.
Wawanesa Mutual service offices will be converted to broker locations to sell coverage. The company says it is aiming for a seamless transition and policyholders should see no changes to their coverage. A regional office will be maintained in Montreal to handle the company’s Quebec operations, such as underwriting and admin duties.
Now its broker channel transition is set to be complete, Wawanesa says it is the largest property and casualty insurance provider in Canada that distributes solely through brokers.