In December 2013, we announced that the Financial Services Commission of Ontario (FSCO) would soon begin licensing Ontario services providers and regulating their business and billing practices involving Statutory Accident Benefits claims. We can now confirm that FSCO will be accepting licence applications starting May 1, 2014. Licences will be required as of November 1, 2014.
FAQ: What is a "service provider"?
Submit Your Licence Application Early
The licence application window will open May 1, 2014. As many as 9,500 applicants could submit an application for a service provider’s licence. FSCO will review and process licence applications on a “first-come, first-served” basis.
Due to the anticipated volume of applications, the service provider business’ Principal Representative (PR) should apply early for a service provider’s licence to ensure there is no interruption in the ability to submit invoices to HCAI and receive direct payment from auto insurers. As of November 1, 2014, service providers who do not hold a licence will not be able to invoice through HCAI, or receive direct payment from auto insurers, for goods or services ("listed expenses") provided after November 1, 2014 in connection with Statutory Accident Benefits.
The Principal Representative must complete the licence application online.
FAQ: Do I need a licence?
FAQ: What is a "Principal Representative"?
FAQ: How do I stay informed?
Important updates will be released in the next few days concerning:
- A description of "listed expenses" (i.e. the specific goods and services covered by the service provider’s licence);
- Necessary standards for business systems and practices;
- Licence processes.
We will provide additional information shortly to explain how the new licensing rules will apply to services you are providing to existing clients when the requirement for a licence comes into effect on November 1, 2014 ("transitional rules").
FSCO is a regulatory agency of the Ministry of Finance who regulates certain financial services sectors conducting business in Ontario (read more).