IMBA to offer members coverage for legal fees

IMBA to offer members coverage for legal fees

The association representing mortgage brokers in Ontario is offering members insurance to cover legal expenses.

IMBA has introduced Legal Expense Insurance exclusively for its licensed mortgage brokers and mortgage agents in partnership with DAS Canada.

According to the association, all active members will have access to free legal advice, as well as legal representation for both business and personal matters. Insurance coverage is provided with membership at no additional cost beyond the annual membership dues.

“Resolving legal issues can be expensive,” said IMBA executive director Joe Rosati. “Access to legal representation and advice, whenever they require it, will give members peace of mind.”

Theinsurance covers the costs that arise in the course of pursuing or defending legal actions in a dispute with another party. Included are lawyers’ fees, charges for disbursements, expert witness fees and opponents’ legal costs that may be awarded.

According to the association, the policy provides coverage to members who:

  • Are being investigated/disciplined by the Financial Services Commission of Ontario (FSCO). The Member will be provided with legal representation during a FSCO investigation or disciplinary hearing regarding their conduct or business practices;
  • Receive notification from the CRA that their tax returns will be audited. Legal representation, in the form of a tax lawyer, an accountant, or potentially both is provided to licencees;
  • Are charged with offences under the Highway Traffic Act and they wish to defend them in court;
  • Must consult with a lawyer regarding business or personal legal or tax matters such as human resource/employment issues, understanding laws and regulations, business disputes and family law matters; and
  • Require preliminary legal advice, which is available by a telephone help-line.