AXA intends to release Canadian assets

Summary#

AXA Insurance Company says it will ask the federal regulator for permission to release the assets it keeps in Canada. The company plans to make that application on or after February 22, 2020, and people who are policyholders or creditors can object by that same date. The notice was signed in Toronto on January 18, 2020 by Laurie LaPalme.

What it does#

• Announces that AXA Insurance Company intends to apply to the Office of the Superintendent of Financial Institutions (Canada) for an order under the Insurance Companies Act (Canada) to release assets it maintains in Canada.
• Invites any policyholder or creditor of AXA Insurance Company’s Canadian insurance business to file an opposition by mail or by email.
• Gives a deadline for objections: respond on or before February 22, 2020 (contact details for the regulator were published in the notice).

Who's affected#

• Policyholders of AXA Insurance Company in Canada.
• Creditors with claims against AXA Insurance Company’s insurance business in Canada.
• Others with a legal interest in AXA’s Canadian assets could also be affected, but the notice does not list anyone else specifically.

Why it matters#

• If the regulator allows the release, the assets that back AXA’s Canadian insurance business could be moved or reallocated. The notice does not explain exactly what “release of assets” would involve.
• That outcome could change what is available to pay future claims or satisfy creditors, so policyholders and creditors may want to consider whether to file an objection by February 22, 2020.
• The final decision rests with the federal regulator; this notice is an invitation to raise concerns, not a decision itself.