IBAC welcomes Federal Budget measures to protect Canadians

November 5, 2025

November 04, 2025 – Toronto, Ontario – The Insurance Brokers Association of Canada (IBAC) welcomes
the federal government’s commitment in Budget 2025 to protect Canadians and ensure the stability of
the financial system in the face of an extreme earthquake.
Earthquake is a serious risk, especially in regions such as British Columbia and the Ottawa-Montreal-
Quebec City corridor, where currently, insurance coverage for earthquake is increasingly unavailable or
prohibitively expensive. The government’s commitment to work with the insurance industry on this
issue will help to safeguard our economy.
“A major earthquake isn’t hypothetical,” said IBAC CEO Peter Braid. “We have been raising the alarm on
earthquake risk and the potentially devastating impacts, not only on people in affected regions, but on
all Canadians. We look forward to participating in these discussions and providing the perspective of
insurance brokers who have on-the-ground experience and understand the challenges of the
earthquake insurance product in their respective communities.
We also welcome today’s announcement that the government is deferring the statutory review of the
Bank Act until 2033. This extends the consumer protections provisions of the Bank Act for the
foreseeable future. In the meantime, IBAC will continue to monitor potential amendments to the Bank
Act that may occur outside of a statutory review process.
Provisions in Canada’s Bank Act ensure the separation of banking and insurance and protect consumers
from potential high-pressure sales tactics when securing a loan or mortgage. This in turn strengthens
public trust, ensures fair competition, and aligns with government’s role in supporting ethical business
practices. Limiting banks’ business powers also keeps the insurance market competitive, diverse, and
consumer-focused. Brokers across Canada will continue to promote and defend this important principle
on behalf of consumers.

About the Insurance Brokers Association of Canada:

Founded in 1921, the Insurance Brokers Association of Canada is the national voice of property
and casualty insurance brokers, advocating for the interests of both insurance brokers and
consumers to the Government of Canada. The Broker Identity Program (BIP) was launched in
1988 to promote the value and professionalism of the insurance broker to consumers, insurers
and governments.

Media Contact:

Sonia Sache, Senior Communications and Marketing Manager
Insurance Brokers Association of Canada
416-367-1831 ext. 160 or [email protected]
www.ibac.ca