Disclosure


Provenance Insurance Services and Provenance Group

To our Clients: Provenance Insurance Services Ltd (PISL) operates as Knox Hutchison Insurance Brokers (KHIB) and MIS Municipal Insurance Services (MISL) and Dynamic Insurance Brokers (DYN). PISL is an independent insurance broker. We purchase products and services on your behalf. Our goal is to locate the best value in terms of coverage, price and service. If any issue arises regarding your insurance coverage, we are your advocates. We will use our professional experience to best represent your individual interest.


Brokerage compensation is part of your insurance premium. Please see the compensation below. We have included the range of compensation each provides as a percentage of your overall premium that appears on your invoice. PISL may from time to time enter into non-standard arrangements which could have compensation terms that fall outside these ranges. We may carry out additional services such as data entry, processing claims payments and conducting site surveys. This additional work is compensated by payment of an agreed fee or commission.


Company

Commission

Aviva Insurance Company of Canada*

7.5 – 12.5%

Boiler Inspection

20%

Chubb

10 - 20%

Economical Insurance*

5 - 20%

Encon

8 – 15%

Everest

15%

Facility Association (RSA)**

3 - 11%

Gore Mutual*

7.5 – 20%

Guarantee

15 – 27.5%

Hagerty

7.5 - 12.5%

Intact*

7.5 – 20%

Lloyds

0 – 22.5%

Markel

15 – 20%

Marsh

10 – 12.5%

Northbridge*

12.5 – 20%

Old Republic Insurance Company

10%

Optimum Insurance Company Inc.*

10 – 20%

Pembridge Pafco*

7.5 – 20%

Travelers*

10 – 22.5%

Various MGA's & Specialty Markets

0 – 27.5%

Wawanesa*

7.5 – 20%

Commission is normally at $250.00


PISL will place risks with specialty markets when it is in our client’s best interest. In most cases, these specialty markets provide compensation at a lower rate than the Insurers we represent. In some cases, it may be necessary for us to charge a fee in lieu of or in addition to the commission payable under the insurance policy. In all cases, we will disclose both the fee and any commission payable under the insurance policy.


In order for us to maintain strong relationships with quality insurers, we work with each to provide the type of business they desire. From time to time, insurance companies offer incentives to brokers, including contest entries, trips and other forms of hospitality. Such sales incentives are typically based on performance criteria established by the insurer. The insurers with an asterisk (*) recognize our efforts through a Contingent Commission contract or an override agreement. Payment of this Contingent Commission is NOT guaranteed, and depends on a combination of profitability (loss ratio), and / or growth (usually over a number of years) and / or increased services that we provide on behalf of the Insurer. In some instances, the occurrence of a few large losses on our book of business can disqualify us from receiving a contingent profit payment for one or more years. For information on Contingent Commission, please go to the individual company’s website.


PISL is majority owned and controlled by the Hutchison Family of North Bay, lifelong Northerners. Westmount Financial Inc. (WFI), a wholly owned subsidiary of Economical Mutual Insurance (EMI) is a minority shareholder in PISL. WFI-EMI also provides PISL with acquisition financing and as of this date PISL has a loan from WFI-EMI that was used to fund new acquisitions. Your insurer will be providing you with a Consumer Code of Rights and Responsibilities, which will be forwarded to you with your next policy declarations page. If you have any question regarding this or any aspect of your insurance please contact us.


Knox-Hutchison Insurance Brokers, MIS Municipal Insurance Services, Dynamic Insurance Brokers O/B Provenance Insurance Services Ltd.