Fees
- What fees does my business have to pay and how much are they?
- What is considered a business location?
- How often does my business have to pay the fees?
- Why is FSCO using a fee based-approach?
- Are fees proportional to the size and scope of the service provider's business?
- Is FSCO making a profit on service providers?
- When will service providers be required to pay the licensing fee and regulatory fee?
- I only visit patients' homes to perform services covered under the listed expenses. How do I calculate locations for the purpose of the fee?
- Insurers will benefit from licensing so why aren't they sharing the costs of licensing?
- Service providers already pay a cost to their regulatory colleges who regulate their practices. Why is FSCO regulating as well?
- The fees are excessive and will put my business out of business.
- What work will FSCO do to warrant the fees?
- Why can’t I pay any fee higher than $5,000 on a credit card?
- Can I pay the fee in installments?
- Can I pay the fee by cash or cheque?
- If my business is not issued a licence, is it entitled to a refund?
- If my business surrenders its licence mid-year, is there a refund?
- My business previously surrendered its service provider licence and now wants to reapply for a licence. Does my business need to pay the licence application fee?
What fees does my business have to pay and how much are they?
When applying for a service provider licence, applicants will be required to pay a two-component fee consisting of:
- A one-time licence application fee of $337
This one-time fee covers the cost of assessing the application for satisfaction of the regulatory requirements, and determining whether the applicant qualifies for a licence.
- An annual regulatory fee
This annual regulatory fee covers the cost of regulating the service provider sector. It is proportional, and varies based on the size and nature of the applicant's business.
Each applicant’s regulatory fee is calculated according to the following formula:
$15 multiplied (x) by the total number of unique statutory accident benefit claimants in the calendar year before the year in which the application is made.
plus (+)
$128 multiplied (x) by the applicant's total number of business locations at the time the application is made.
This regulatory fee is prorated, based on a fiscal year cycle that begins April 1 and ends March 31. For example, if the applicant is applying to obtain a licence that is effective December 1, 2014, the fee would be prorated for the period December 1, 2014 to March 31, 2015 (four months).
Using this same example, the full annual regulatory fee would be payable by the licensee beginning in April 1, 2015, and every year thereafter, as directed by FSCO.
What is considered a business location?
A business location is considered a facility, clinic, branch, or location operated by the applicant business in connection with the provision of one or more listed expenses to or in connection with a SABS claimant, including assessments and examinations. This includes all of the locations owned or operated by the applicant sole proprietorship, partnership or corporation, as the case may be, in carrying on business.
How often does my business have to pay the fees?
The license application fee of $337 is a one-time fee. This fee covers the cost of assessing the application for satisfaction of the regulatory requirements and determining whether the applicant qualifies for a licence. The regulatory fee is an annual fee that covers the yearly cost of regulating the service provider sector. Licensees are required to pay this regulatory fee as a prorated amount at the time of application. In subsequent years the fee will be paid annually by April 1.
Why is FSCO using a fee based-approach?
Fees are the simplest, lowest-cost method of recovering the costs of service provider regulation. Are fees proportional to the size and scope of the service provider’s business? Yes. Regulatory fees will vary by the size and complexity of a business. A small business treating few SABS claimants will pay proportionately less than a multi-location business treating many SABS claimants.
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Are fees proportional to the size and scope of the service provider's business?
Yes. Regulatory fees will vary by the size and complexity of a business. A small business treating few SABS claimants will pay proportionately less than a multi-location business treating many SABS claimants.
Is FSCO making a profit on service providers?
No. Fees reflect the costs of necessary regulatory services. FSCO is a cost recovery agency and is not permitted to make a profit on licensing service providers.
When will service providers be required to pay the licensing fee and regulatory fee?
The one-time license application fee will be paid at the time of licence application, along with a prorated regulatory fee. In subsequent years, the regulatory fee will be paid annually by April 1.
I only visit patients’ homes to perform services covered under the listed expenses. How do I calculate locations for the purpose of the fee?
If all services are provided externally, the location to be provided for the license is the business address and therefore there is only one location for the purpose of calculating the fee.
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Insurers will benefit from licensing so why aren't they sharing the costs of licensing?
Insurers and service providers are different industries. Insurers are subject to assessments for their regulatory costs.
Service providers already pay a cost to their regulatory colleges who regulate their practices. Why is FSCO regulating as well?
FSCO is regulating only the billing practices of service providers that provide specified goods or services (listed expenses) for which they submit invoices through Health Claims for Auto Insurance (HCAI) for payment by an automobile insurer. The authority to regulate this sector was given to FSCO by the Government following a recommendation of the Ontario Anti-Fraud Task Force.
The fees are excessive and will put my business out of business.
Fees reflect the costs of necessary regulatory services and does not include an element for profit. Since FSCO already has licensing and investigative services, the fees reflect the benefits of economies of scale.
What work will FSCO do to warrant the fees?
FSCO will ensure the organization’s billings are legitimate, investigate complaints, and conduct audits to ensure service providers are complying with the law.
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Why can’t I pay any fee higher than $5,000 on a credit card?
Due to the service charges imposed, it is Ontario Government policy not to process credit card transactions greater than $5,000.
Can I pay the fee in installments?
No. Full payment must be made at the time of application.
Can I pay the fee by cash or cheque?
If the total amount owed is less than $5,000, you must pay by credit card or debit. If the total amount owed is greater than $5,000, you must pay by cheque only.
If my business is not issued a licence, is it entitled to a refund?
The application fee is non-refundable. Where an applicant is not issued a licence, the regulatory fee will be refunded to the applicant.
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If my business surrenders its licence mid-year, is there a refund?
No. If a licensee surrenders a licence mid-year, the licence application fee and regulatory fee paid at the time of application will not be refunded.
My business previously surrendered its service provider licence and now wants to reapply for a licence. Does my business need to pay the licence application fee?
Yes. A licence application fee will be charged as part of the re-licensing process. This fee covers the cost of assessing the new application for satisfaction of the regulatory requirements and determining whether the applicant is suitable and qualifies for a licence.
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