Financial Services Innovation In Ontario: FSRA Releases Its Consultation Document

On October 21, 2021, the Financial Services Regulatory Authority of Ontario (FSRA) released a 35-page consultation document ("Consultation Document") detailing its proposed Innovation Framework. FSRA's Innovation Office, created in 2020 to facilitate financial services innovation in Ontario, is coordinating the initiative. Supporting innovation in Ontario's financial services sector is a core part of FSRA's mandate as a regulator. The Framework set out in the Consultation Document is open for comment until November 18, 2021.

While the new framework will affect all areas of financial services under Ontario's jurisdiction, the auto insurance sector will be the first to access the new testing environments described below. FSRA is empowered to grant certain forms of exemptive relief that may be required to implement a service or product test that it has approved.