In a Partnership, the majority of equity and voting interest must be held by brokers.
To apply for an active Partnership member firm registration, the following must be submitted:
- fully completed and signed Application for Business Registration – Active
- verification of business identity: Partnership – copy of registration of partnership under the Partnership Registration Act
- two (2) letters of intent from contracted insurers
- certificates of mandatory insurance to satisfy the following minimum requirements:
- (a) Professional Errors and Omissions Liability insurance of at least $1 million per claim, $2 million aggregate
- (b) Fidelity Bond of at least $100,000 per claim.
- The policies must be underwritten by insurers licensed in the Province of Ontario and must indicate they are subject to special RIBO endorsements. It is the Broker’s responsibility to ensure that the requisite insurance coverages are maintained and that renewal or continuation certificates are provided to RIBO each year.
- opening Position Report (Form 1) The ‘Reporting Date’ on the face of the Report should be the date on which the figures are provided to RIBO. The opening Position Report for a new business will show a ‘nil’ trust balance inasmuch as business may not be conducted nor premiums collected until the Broker business has been registered by RIBO. There must be evidence that a trust account in the business name has been established in Ontario unless specific exemption is obtained from RIBO Council. The Position Report must indicate Equity in the business of at least $5,000 or a higher amount of equity as is required to equal the SUM of the combined deductible amounts applying to the Errors and Omissions and the Fidelity bond policies which must be carried by a Broker business.
- appropriate registration fee