CDIC differential-premium by-law updated: a previously pending amendment is now in force

Plain-language summary · AI-assisted

An amendment to the Canada Deposit Insurance Corporation Differential Premiums By-law that was previously listed as 'not yet in force' has now been brought into effect. The change narrows the reference used when assigning an examiner's rating score to a member institution: the by-law no longer looks back to scores assigned under the predecessor by-law's subsection 28(2), relying only on scores assigned under the current subsection. A related rule for amalgamated institutions has also been updated to reflect this consolidation. Member institutions subject to CDIC differential premium assessments—particularly those that were assessed under the old by-law before the current one came into force—should confirm with their compliance teams how their examiner's rating history will be treated in future premium calculations.

Who this affects
CDIC member deposit-taking institutions · bank and credit union compliance teams · financial institution risk and regulatory affairs leads