B4 - Wednesday, March 28, 1984 - North Shore News

S| business |

INSURERS READY TO EXPAND

They want more than life

THE CANADIAN life insurance industry has re-
quested a major overhaul of federal insurance
legislation to enable the industry to compete on an

equal footing with banks,

trust companies and

other financial institutions for a wider range of

consumer products and services.

A 204-page submission
from the Canadian Life and
Health Insurance Associa-
tion, representing 123
member companies, says
changes to The Canadian and
British Insurance Companies
Acts and The Foreign Iin-
surance Companies Act are

‘“‘of immediate and para-
mount importance to the
industry.”’

The industry is being plac-
ed at a competitive dis-
advantage through a number
of recent events including the
shifts in consumer preference

have been able to dominate
new areas, notably residential
mortgage lending. Credit
unions have moved out of
church basements to become
distinct banking systems with
broad powers.

wants to have more flexibility
in choosing investments.
Diversification would
enable the industry to remain
competitive, while the public
would benefit from that com-
petition through product in-

market
Bonds.
Sell financial products of
other companies or institu-
tions on a_ fee-for-service
basis.

Meet the needs of their

Canada Savings

TELEK FOR

per
month.

for new kinds of investment

vehicles because of the im-~

pact of inflation. Other fac-
tors include changes in
federal tax policies affecting
insurance; changes in policy
concerning Canadian owner-
ship of resources; and the
growth of diversified finan-
cial services companies.
EVOLUTION

In its submission to the
Minister of State for Finance,
CLHIA notes that because of
their size, branch office net-
works and 10-year legislative
reviews, Canadian banks

Finance companies have
purchased trust firms and
trust companies have been
competing for savings
dollars, often through in-
novative marketing
strategies. The ‘‘one-stop
shopping’’ approach has
been instituted in Canada by
organizations like Eaton Bay
Financial Services.

The main thrust of the
CLHIA submission is that
the insurance industry needs
to be able to diversify into
more financial products and
services - in addition to in-
surance and annuities - and it

” NEWS photo Stuart Davis

ADDING SOME Oriental pizazz to the opening of Japan Cameras second North Shore
store in Westlynn Mall were June Kasuya (foreground) and Masum! Hamazaki along with
other members of the Otowa Japanese Dance Group. They will perform next at Foth
Festival April 28 at the Queen Elizabeth Theatre

ANNUITIES?

* Ate you between the age 600) and age ”

© Do you have an RRSP?
Ase you getting only 9 IQ) oF i% tn your RRSP?

IF SO. WHY NOT “ANNUITIZE’ NOW AND
GUARANTEE YOURSELF 12% OR MORF
FOR THE REST OF YOUR LIFE?

For details write or call

James E. Rogers & Co. Ltd.
7th floor, 2695 Granville St., Vancouver

Telepone 732-655)

The Annutty Specialists

AUSTIN

INCOME TAX

® Conhdential

* Reasonabie rates

e Vist for free estimate
®* Complete review tor

Maximum tax deductions
* in Defore Yam
out betore Spm
Sulte 1-67 Lonsdale
N Vancouver
(near Seabus)

986-0084

novations, better service,
lower costs and improved
convenience.

Investment flexibiltiy
would maximize returns on
assets to the benefit of policy-
holders and_ shareholders,
and aid economic develop-
ment by providing invest-
ment capital where it is need-
ed and in the most ap-
propriate form.

CLHIA has recommended
that life companies be
authorized to acquire sub-
sidiaries engaged in any
lawful business activity, sub-
ject to a specific limitation on
aggregate amounts that could
be invested in subsidiaries.

WIDER RANGE

Under the proposals, life
companies would be able to
offer directly, rather than
through subsidiaries, those
services closely related to
their own operations. These
would include trusteeship,

premium financing and

marketing of government
securities.

The use of appropriate
subsidiaries of ‘‘affiliates’’ to
engage in cross-sectoral ac-
tivities would preserve, in the
interest of the public, a clear
separation among the ‘‘core’’
activities of the four main
sectors of the financial ser-
vice industry, i.e., insurance,
banking, trust and security.

At the same time it would
ensure that all financial in-
stitutions would be subject to
the same regulatory and ad-
ministrative supervision
when marketing equivalent
products and services.

The changes would enable
life companies to:

eFully service, as ad-
ministrative trustees, death
benefits proceeds, pension

plans and savings plans.
*Provide financial assistance
to those consumers wishing
to buy insurance and
annuities.

elssue and redeem securities
on behalf of any government
in Canada (federal, provin-
cial or municipal). This
would include the power to

24 HOURS
TELEPHONE
ANSWERING SERVICE
ONLY
$50 PER

MONTH

CLASSIFIED
ANSWERING SERVICE

669-7973

customers for custodial and
safekeeping services.

Raise money by the sale of
bonds and debentures.
Participate more actively in
the financing of equipment
for Canadian enterprises.

eEngage in the insurance
brokerage business.
eEngage in real estate

brokerage, and the offering
of mortgage brokerage and
real estate services.
TOO MUCH RESTRAINT

As for investment policy,
limited flexibility allowed
under current investment
restrictions “is seen as a
restraint on a life insurer’s
ability to operate. For these
reasons, CLHIA endorses the
*‘prudent managemet’’ con-
cept.

West Van.
926-0139

CORA GRAY

BUSINESS SERVICES

Public Steno AY sp
Word Process

Telephone Answering

‘Growing with Confidence’

Do you need TELEX but
don’t have the volume
to justify your own
equipment?

Let us help you with:

* Worldwide communication .

e Telex number for your
business stationery

* Incoming messages phoned
.to you upon receipt

e Reasonable message costs
(charged per full minute)

© Like having your own in-
house TELEX Department

CALL & COMPARE

Westwind
Services
987-8327

for

Resumés

North Van.
980-0554

b.c. place stadium

Exclusive use of a Beautitul International Suite at B.C. Place
Stadium trom April 17, 1985 Minimum prize value $35,000!
Presented by the British Cotumbta Paraplegic Association

e 12 Tickets to each Home Game tor the Lions and Whitecaps

e Luxury accommodation

Wet Bar Catering Closed-circult Tv

¢ Two underground parking spaces for every event
« Winner may purchase admission tickets to other: events such as
Tennis Concerts etc (If not purchased box remains unoccupted)

¢ | ocated on the 5O yard tine

¢ Sulie ts available for entertaining betore and afer events

¢ Draw date April 16

MPAA OF TOKETS

PAY BV OEOR MONEY ORDER OR |

CARD NUMBER
(xPwy oatt
IONA TURE

maa 10

Promotion Department
North Shore Newe
1139 Lonsdale Ave
North Vancouver B ¢
VIM 2144

fine’ catering facilites available at reasonable costs

MAS TE RONAN

sunday

news

north shore

news