Last week, Quebec's Chamber of Damage Insurance (CHAD) launched its training program for the coming year. The RCCAQ is very surprised to note that CHAD's new program encroaches even further into the areas of expertise of training organizations, as well as those of professional and other associations, by expanding its training offer to include insurance techniques.
As a self-regulatory organization, CHAD has a role to play, but this should not include the technical training of the members it oversees. The website of the Autorité des marchés financiers (AMF) describes the role of a self-regulatory organization as follows:
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A self-regulatory organization is an entity which monitors or supervises the conduct of its members. The oversight exercised by a self-regulatory organization includes the development of rules, compliance control in respect of the rules and member discipline.
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It is not appropriate for an organization that is mandated with auditing and overseeing its members' practices to also be providing training. This is a clear conflict of interest.
Over the years, various groups (including professional associations) have acquired solid training expertise. It is far from certain that providing more training activities adds any real value.
Consequently, we believe that urgent steps should be taken to review CHAD's mandate.
