BACKGROUND
For the purposes of the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations (PCMLTFR) BMO Insurance and its agents have a duty to verify the identity of policyowners on all new business and in force policies.
While there are no changes to the new business and in force policies requirements, there are important changes being introduced for beneficiaries at time of a death claim.
CHANGE FOR JUNE 1, 2021
PCMLTFR changes require all insurers and its agents to verify the identity of beneficiaries and conduct an assessment for politically exposed persons (PEPs) at time of a death claim.
To meet the required change, for death claims effective June 1, 2021, the following process will be in place:
REQUIREMENT | REQUIRED FORM AT TIME OF CLAIM1 | PLAN | Verify the identity of every person or entity who will receive funds as a beneficiary | OR | • | Universal life insurance | • | BMO Insurance Whole Life with APO | • | Non-Registered SPIA | • | Non-Registered GIF |
| Assessment for politically exposed persons (PEP) if a beneficiary is expected to receive $100,000 or more in funds | |
1 To meet the regulatory change, for death claims effective June 1, 2021, the requirements listed above must be completed as part of a claim submission. All required forms must be submitted in good order before a review of the claim can be completed.
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