On June 8, 2025, Québec's Finance Minister tabled Bill 92, An Act to amend various provisions mainly with respect to the financial sector, in the Québec National Assembly to modernize the regulatory framework of the province's financial sector. Following consultations and amendments since its introduction, the bill was assented to on June 4, 2025 ("Bill 92").
Bill 92 amends approximately twenty statutes and regulations, primarily in the areas of insurance, securities, financial institutions, and real estate brokerage. This bill followed an earlier financial omnibus bill enacted on May 9, 20231, which emerged following discussions with stakeholders in the relevant sectors and in an effort to provide relief, strengthen regulatory enforcement tools and respond to industry demands. The Minister of Finance has committed to regularly updating the financial sector legislation to address industry terms and to take the necessary measures to address certain issues. Most of the provisions under Bill 92 have already come into force, except for those relating to the Fonds d'indemnisation des services financiers (financial services compensation fund) (the "Fund"), which will come into force no later than June 4, 2026.
This bulletin provides a quick overview of some of the key changes introduced by Bill 92.
Two Chambers Merged to Form New Chambre de l'assurance
To simplify the regulatory oversight of representatives selling financial products and services, Bill 92 provides for the merging of the Chambre de la sécurité financière (CSF) and the Chambre de l'assurance de dommages (ChAD), to form the Chambre de l'assurance, a new self-regulatory organization (SRO) recognized under the Act respecting the regulation of the financial sector (chapter E-6.1) (the "ARFS"). This merger will transfer the rights, obligations and any ongoing proceedings of the two existing chambers to the new Chambre de l'assurance. Many of the transitional provisions under Bill 92 provide for the creation of the new Chambre de l'assurance and the replacement of the CSF and ChAD.
Current members of the CSF and ChAD are not required to take any further action as a result of this merger. The Autorité des marchés financiers ("AMF") also announced a public consultation in which interested stakeholders can comment on the merger. On June 26, 2025, the AMF announced that it was delegating additional registration functions to the Canadian Investment Regulatory Organization (CIRO), namely those concerning investment dealers, mutual fund dealers and derivatives dealers, and the individuals acting on their behalf. These functions will therefore not be assumed by the Chambre de l'assurance.
Expanded Scope of the Fonds d'indemnisation des services financiers
Under Bill 92, the provisions related to the Fund are now included in the ARFS, rather than in the Act respecting the distribution of financial products and services (chapter D-9.2)(the "Distribution Act"). These changes will extend the scope of the Fund to include victims of fraud, fraudulent tactics or embezzlement by any representative, dealer or advisor registered under the Derivatives Act (chapter I-14.01) (the "Derivatives Act") or the Securities Act (chapter V-1.1) (the "Securities Act"). All those involved in the distribution of financial products and services in Québec will now be subject to the Fund. On June 26, 2025, a notice of consultation was published to solicit comments from all interested parties by September 19, 2025, regarding the AMF's proposed regulatory changes to the Regulation respecting the eligibility of a claim submitted to the Fonds d'indemnisation des services financiers, which aim to amend certain rules concerning the eligibility of claims submitted to the Fund, clarify and simplify the claimant's obligations, and propose contribution amounts for all representatives, as well as all firms operating an online platform.
Easing of Rules for Claims Adjusters
Bill 92 introduces amendments to the Distribution Act concerning representatives registered to act as claims adjusters, providing the property and casualty insurance industry with greater flexibility and resilience, particularly in responding to major climatic events. First, the maximum amount of claims that a person without a claims adjuster certificate (license) may settle under the supervision of a claims adjuster, previously set at $5,000 since May 9, 2025,2 has now been increased to $7,500.3
Moreover, under Bill 92, the AMF has the power, in exceptional circumstances and for the period it sets, to authorize certain persons to perform the tasks usually reserved for claims adjusters, even if they are not certified to act in that capacity. Persons that can be authorized by the AMF include a general insurance agent or broker holding a valid certificate, a person who previously held a claims adjuster certificate, and a person authorized to act as a claims adjuster outside Québec. This provision amends and clarifies the AMF's Implementation Directive, published on May 29, 2009, regarding the definition of claims adjuster and the activities reserved for them, in order to govern supernumeraries involved in claims settlement.
Reduced Scope of Disclosure Requirements for Damage Insurance Brokerage Firms
Prior to Bill 92, the Distribution Act required a damage insurance brokerage firm to disclose, on its website and in any written communications through which it invites the public to purchase such products, the name of any legal person holding an interest representing more than 20% of the value of the firm's equity capital or, if this person is part of a financial group, the name under which the group is known. Under Bill 92, the scope of this disclosure obligation will now be limited to cases where these financial relationships are either with a financial institution, which will require the name of the financial institution and financial group, as applicable, to be disclosed, or with a legal person related to the financial group, in which case only the name of that financial group will have to be disclosed.
New Disclosure Requirements for Damage Insurance Brokerage Firms
Prior to Bill 92, the term "financial institution" for the purposes of the chapter on interests in damage insurance brokerage firms under the Distribution Act was defined as "a financial institution other than an insurer engaging exclusively in the business of reinsurance." Bill 92 clarifies the very broad scope of the definition by referring to section 4 of the Insurers Act (chapter A-32.1) (the "IA"), which lists authorized financial institutions. The following entities are among those included in the definition, namely (i) insurers authorized to operate as an insurer under the IA, (ii) deposit institutions authorized under the Deposit Institutions and Deposit Protection Act (chapter I-13.2.2) (the "DIDPA"), (iii) financial services cooperatives as defined in the Act respecting financial services cooperatives (chapter C-67.3) (the "AFSC"), (iv) trust companies authorized under the Trust Companies and Savings Companies Act (chapter S-29.02) (the "TCSCA") and (v) any legal person registered as a dealer or advisor under the Derivatives Act or Securities Act, or registered under the Securities Act as an investment fund manager.
Residency Requirements of Certain Insurance Company Directors Relaxed
Bill 92 amends the IA by introducing an exception to the current requirement that a majority of the directors of an insurance company or association must be resident in Québec. The exception provides that if more than 40% of the premiums are collected by the company outside Québec or, if the company does not collect that proportion of premiums and if it belongs to a financial group, if more than 40% of the premiums are collected by the group outside Québec, only one-third of an insurance company's directors must be resident in Québec, provided that the majority of them reside in Canada. This change will allow Québec insurers with substantial operations outside Québec to appoint more directors who have a better understanding of the markets where these Québec-chartered insurers operate.
New Regulatory Powers for AMF
Bill 92 amends the Distribution Act to enhance the AMF's powers by allowing it to determine, by by-law, management rules that firms, independent partnerships, and independent representatives must comply with regarding governance matters. The AMF has indicated that it would rely on Bill 92 to enable it to complete a comprehensive regulatory consultation on firm governance and management. The AMF also indicated that it was developing a new framework involving regulatory changes to the governance, role and responsibility of registrants, which will be preceded by a public consultation addressing the supervision of representatives and expectations for managing general agents (MGAs).
In the event of a breach of the provisions of the Derivatives Act or Securities Act, or if a registrant carries on business in a manner that is inconsistent with the declarations made at the time of registration, the AMF may now suspend, revoke or impose conditions on the rights conferred by the registration—a power previously reserved for the Financial Markets Administrative Tribunal.
Moreover, securities trading platforms, including those trading crypto-assets that are considered to be securities, must now be recognized by the AMF before engaging in activities regulated under the Securities Act, and platform owners will have to submit all required documents or information to the AMF.
Increased Administrative Penalties and Fines in Financial Sector
Under Bill 92, the Financial Markets Administrative Tribunal now has the power to impose an administrative penalty of up to $2,000,000 per day, for as long as the violation continues, on any person that contravenes or assists another person in contravening the IA, AFSC, DIDPA or TCSCA. Bill 92 also provides for an increase in the amount of certain fines and the introduction of new penal provisions to the laws administered by the AMF.
New Measures to Regulate Real Estate Brokerage
Bill 92 expands the powers of the Organisme d'autoréglementation du courtage immobilier du Québec ("OACIQ") in its mandate to protect the public. As a result, it is now authorized to refuse to issue, or to suspend or revoke, a licence if, in its opinion, the persons or partnerships subject to the Real Estate Brokerage Act ("REBA") do not have the "degree of honesty" or integrity necessary to carry on their activities and ensure public protection. It also requires the discipline committee established within the OACIQ to impose at least a fine of $2,500, if a licence holder fails to disclose a conflict of interest as stipulated under the REBA. Furthermore, the list of offences under REBA has been expanded to include any violation under that statute, and the stipulated fines and penalties have been increased.
Reminder: New Complaints Regulation
For information purposes, we would also like to remind you that the Regulation respecting complaint processing and dispute resolution in the financial sector, published on February 15, 2024, came into force on July 1, 2025. This regulation harmonizes complaint handling processes for consumers and applies to financial institutions, financial intermediaries, and credit reporting agents operating in Québec.
Footnotes
1 Bill 30, An Act to amend various provisions mainly with respect to the financial sector. We refer you to our bulletin on this matter : https://www.fasken.com/en/knowledge/2023/06/projet-de-loi-n-30-un-projet-de-loi-omnibus-affectant-le-domaine-des-assurances.
2 Section 91 of the Act to amend various provisions mainly with respect to the financial sector, SQ 2025, c 15, which adds a third paragraph to section 10 of the Distribution Act incorporating this exception, came into effect on May 9, 2025.
3 Note that section 50.1 of the Distribution Act stipulates that any non-certified person covered by this exception must inform the claimant that they are acting under the supervision of a claims adjuster, provide the identity of that adjuster and, at the claimant's request, refer their file to the supervising claims adjuster. Moreover, the AMF considers the supervising claims adjuster to be fully responsible for the file (see: https://lautorite.qc.ca/en/professionals/firms-representatives-and-independent-partnerships/obligations-and-administrative-procedures/claims-adjustment-non-certified-persons).
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