Office of the Superintendent of Financial Institutions
This Guideline addresses the issue of large exposures of life insurance
companies and fraternal benefit societies. It sets out OSFI's policy with
respect to limits on these exposures. During discussions regarding the
introduction of Insurance Holding Companies (IHCs) and Bank Holding
Companies (BHCs) in Bill C-8, the industry was advised that a large
exposure limit would be applied on a consolidated basis to exposures of
IHCs and BHCs. To reflect the unique characteristics of the predominant
business of IHCs, OSFI, as a first step in developing appropriate
direction for IHCs, undertook to develop a Guideline for life insurance
companies. This Guideline will also bring the life insurance company
regulatory framework in line with the deposit-taking institution
In the interest of maintaining a level playing field, and as a starting
point, the life insurance company Guideline has been drafted using the
December 1994 OSFI Guideline B-2: Large Exposure Limits for DTIs.
In some instances, however, because of the unique characteristics of life
insurance companies, the life insurance Guideline differs from the DTI
This Guideline is available in English and French on OSFI’s Web site (http://www.osfi-bsif.gc.ca) under
the Publications section. It may also be obtained by contacting Mr.
Stéphane Dupel, General Services Division, by e-mail at email@example.com or by facsimile at (613) 954-4331.