Mr. Speaker, I thank my hon. colleague for his question because it is an excellent question. It is a question that needs serious consideration. I hear the same things in my own riding. I know the kind of costs that people are talking about. It is an important issue. We see in New Brunswick how insurance has gone up significantly, sometimes three or four times, and people are trying to get their companies insured. The kind of issues that the member has raised are very important.
The member does acknowledge the fact that, as far as the federal government is concerned, there is a shared responsibility, a shared jurisdiction, with the provinces regarding insurance companies.
The role of the federal government, primarily, is to be responsible for incorporating federally chartered insurance companies and ensuring their proper governance and fiscal soundness. The provinces regulate the day-to-day business activities of insurance companies, including licensing and the marketing of insurance company products, standards of competence, behaviour of insurance agents, et cetera. Therefore much of the issue with regard to the cost of property and casualty insurance would normally then fall under each provincial government.
However, I would like to point out to the hon. member that there is a role for the federal government. The federal government has put measures to aid consumers in dealing with insurers.
First, the federally incorporated insurers are required to have an internal complaints handling process and belong to a third party dispute resolution mechanism. Indeed, the centre for financial services ombudsnetwork, CFSON, provides customers of both provincially and federally incorporated insurance companies with a single window to access the dispute resolution process. Consumers with complaints, and the member referred to consumer complaints, including those regarding premium increases, can seek redress through the ombudsman. This is a very important point that the member raised.
Furthermore, insurers with over $1 billion in equity are required to publish a public accountability statement describing their contributions to the Canadian economy and society.
To enhance the oversight of federally incorporated institutions, the government established the Financial Consumer Agency of Canada to monitor compliance of federally incorporated financial institutions with the federal consumer provisions.
We know that some provinces are taking the initiative on some of the issues that the member has raised. However, the member is asking about the overall picture and as I said, the ombudsman role is very important. That is something that consumers must look at, particularly with premium increases. The main responsibility of the provinces is certainly to do that but, again, we have a role.
I have tried to outline to the member some of the important roles that we play as the federal government, particularly in terms of this issue. However, when individuals come to the member on these issues, they do not ask whether this is a federal or a provincial issue. They are looking for leadership from the member. I hope that some of the information I provided the member will be useful. However it raises the question: if some of the provinces are not doing the job, can the federal government take a leadership role? That, I think, is what the member was asking for.