The Financial Services Regulatory Authority of Ontario (FSRA) announced that its Total Cost Reporting (TCR) Rule for individual variable insurance contracts (segregated fund contracts) will take effect on January 1, 2026, requiring insurers to provide enhanced annual statements that clearly disclose total costs, fees, and investment performance. The disclosures are intended to give consumers, for the first time in Ontario, clearer information on the total costs they pay and the returns they earn, supporting comparisons with other investment products. FSRA’s requirements adopt the Canadian Council of Insurance Regulators’ national guidance and are closely aligned with cost reporting requirements in the mutual fund sector. Insurers must begin providing the enhanced annual statements in 2027, covering the 2026 reporting year.
Financial Services Regulatory Authority of Ontario 2025-12-18
Financial Services Regulatory Authority of Ontario brings Total Cost Reporting Rule into force requiring enhanced segregated fund cost and performance disclosures
The Financial Services Regulatory Authority of Ontario announced the Total Cost Reporting Rule for individual variable insurance contracts, effective January 1, 2026. This rule mandates insurers to provide enhanced annual statements disclosing total costs, fees, and investment performance, aligning with national guidance and mutual fund sector standards. Enhanced statements will be issued in 2027 for the 2026 reporting year.