Which organization provides protection for holders of segregated fund contracts in Canada if the insurer becomes insolvent?

Which organization provides protection for holders of segregated fund contracts in Canada if the insurer becomes insolvent?
A . Canadian Deposit Insurance Corporation
B . Canadian Insurance Services Regulatory Organizations
C . Assuris
D . OmbudService for Life & Health Insurance

View Answer

Answer: C

Explanation:

Assuris is the organization in Canada that provides protection to policyholders, including holders of segregated fund contracts, if their insurance company becomes insolvent. LLQP guidelines state that Assuris ensures the continuation of certain benefits and provides a level of coverage to protect the assets within segregated fund contracts.

Assuris is specifically focused on protecting Canadian policyholders of life and health insurance products in cases of insurer insolvency, distinguishing it from organizations like the Canadian Deposit Insurance Corporation, which covers deposits at financial institutions.