Effective Date: December 31, 2021
Financial Institution Bond coverage
Dealer Members (Dealers) are reminded that the standard wording of the Financial Institution Bond (FIB) excludes coverage of negotiable securities transported through couriers unless armored motor vehicles are used in the transportation. This exclusion of coverage does not apply to negotiable securities that are transmitted through Dealers’ messengers.
Dealers are therefore advised that when arranging transportation of negotiable securities through a courier, the courier should be advised to use armored vehicle in order to avoid potential losses.
IIROC Rules this Guidance Note relates to:
- Schedule 10 of Form 1, and
- section 4456.
Previous Guidance Note
This Guidance Note replaces MR0334 - FIB In-Transit Insurance.
This Guidance Note was published under Notice 21-0190 - IIROC Rules, Form 1 and Guidance.