431. A person who distributes an insurance product, whether the person is a distributor or a natural person assigned that task by the distributor, must describe the product to the client and explain the nature of the guarantee.
The person distributing the product must clearly explain the exclusions under the guarantee to enable the client to decide whether the situation applying in the client’s case constitutes an exclusion under the guarantee.
The person distributing the product must also, if the remuneration received by the distributor for the sale of the product exceeds 30% of its sale price, disclose that remuneration to the client.
1998, c. 37, s. 431; 2018, c. 23, s. 5821.