Updated on January 28, 2026
Commission Protection Claims Update
Commission owed by iPro Realty Ltd.
Commission owed to iPro Realty Ltd.
Commission Protection Insurance
General
Commission Protection Claims Update (Jan. 26, 2026)
100 per cent of their eligible commission protection claims announcement
The Real Estate Council of Ontario (RECO) announced on January 21, 2026, that claimants affected by the iPro Realty Ltd. (iPro) matter will be able to receive 100 per cent of their eligible commission protection claims.
Given the unprecedented nature of the iPro matter, funds from RECO’s insurance program stability fund are being placed in a protected trust to address the shortfall that RECO believes was misappropriated by the principals of iPro, while recovery efforts continue.
Who is paying the commission protection claims?
Commission protection claims are paid by the insurer, in accordance with the insurance policy.
Funds from RECO’s insurance program stability fund are being placed in a protected trust to address the shortfall that RECO believes was misappropriated by the principals of iPro, while recovery efforts continue.
What does “100% payment” mean?
“100% payment” means the full eligible amount of a commission protection claim, subject to:
- the policy limit (up to $200,000), and
- applicable deductibles and program terms.
What was the insurance court application about?
The insurer sought court approval to access funds held in frozen iPro trust accounts, which can only be released pursuant to a court order.
The court has authorized access to funds for the purpose of commission claims payments, representing important progress in the recovery process. Further court applications will continue in parallel.
How long will it take to receive my payment?
Once the insurer receives and processes the required information and signed payment release documentation from the claimant, payments are expected to start flowing as early as next week.
The timing will depend in part on how promptly the claimant submits the required information and signed documents requested by the claims adjuster.
Payments will continue as claims are processed and finalized.
I already received a 50% payment. What happens now?
If you received and accepted a 50 per cent pro-rated payment, you will receive a top-up offer for the remaining eligible amount. No additional deductible will apply.
You will be asked to:
- sign the full and final release and assignment, and
- confirm that your banking information has not changed.
I signed a “full and final” release for the 50% payment — does that prevent me from receiving the rest?
No. You will still receive a top-up offer for the remaining eligible portion of your claim. The earlier release will not prevent you from receiving the balance.
Does the release documentation include a confidentiality requirement?
No. There is no confidentiality requirement in the release document that is currently being used. The confidentiality clause was removed following industry feedback in December 2025.
What should claimants do when they receive an offer?
Claimants should:
- respond promptly to requests from the claims adjuster,
- submit all required information, and
- complete and return the required payment release documentation as soon as possible.
Doing so will help ensure payments can be issued as quickly and as efficiently as possible.
I received a 50% offer but haven’t signed it yet — what should I do?
Do not return the 50% offer. A new offer reflecting 100% of the eligible amount will be issued. You will need to sign the required release and assignment and provide your banking details.
I haven’t received an offer yet. When will I?
If you have not yet received an offer, or are still waiting on offers for some trades, your claim is still being reviewed and adjudicated. You will receive a 100 per cent offer on all eligible commission protection claims once the assessment is complete.
Claims are being processed in parallel, with claims continuing to be reviewed and adjudicated while payments are issued for finalized claims.
What if my claim is still under review?
The insurance program manager and the team are working in parallel—continuing to assess remaining claims while issuing payments for finalized claims.
If your claim is still under review:
- the claims team will contact you if additional information is required,
- once assessed and deemed eligible, you will receive a payment offer, and
- payment will be issued after the required release documentation is completed and returned.
The team is working diligently to conclude outstanding assessments while ensuring payments continue to flow.
What is the deductible amount under the commission protection policy?
The commission protection insurance policy requires a $250 deductible, which is applied once per claimant.
Is the deductible applied per claim or per claimant?
The deductible is applied only once per claimant, regardless of the number of claims submitted.
If I already paid a deductible when I received a 50% payment, will I be charged another deductible for the remaining 50%?
No. The $250 deductible is applied only once. It will not be deducted again from any subsequent top-up payment.
What about those impacted that fall above the policy limit?
RECO’s focus is on ensuring that all eligible commission protection claims are paid in full in accordance with the insurance policy. While some individual losses exceed policy limits and cannot be compensated beyond those limits under the insurance program, every eligible claimant will receive the maximum amount available to them under the policy. Any additional losses beyond policy limits may be pursued through the courts against those responsible, independent of the insurance process.
What steps should I take if my real estate transaction is scheduled to close at a future date, such as those closing after December 19, 2025?
For anyone with a transaction closing in the future, they should simply submit a claim form.
How are pre-construction commissions treated if part of the commission was already paid and the balance is due on closing?
Commissions remain an asset of the brokerage until they are earned. For pre-construction deals, future commissions must continue through the existing insurance process unless a court directs otherwise.
Can claims be submitted for pre-construction deals that have not yet closed?
Yes. Claims can be submitted, but payment cannot be made until the transaction closes and commissions are earned.
Will filing a claim now delay payment once a pre-construction deal eventually closes?
Filing a claim now does not delay payment. However, claims for transactions that have not yet closed will not be prioritized for payment until commissions are due.
Where are the funds coming from?
The funds are coming from RECO’s insurance program stability fund. These funds are being placed in a protected trust to address trust account shortfalls that RECO believes were misappropriated by the principals of iPro Realty Ltd.
This enables the insurer to continue processing and paying eligible commission protection claims while recovery efforts continue in parallel.
Why is RECO taking this step now?
RECO is taking this step now because the necessary legal, financial, and evidentiary groundwork is in place. From the outset, our priority has been to ensure that all eligible commission protection claims are fully compensated while also protecting the integrity of the process and preserving recovery options.
This required allowing civil proceedings to advance, confirming the nature and extent of the trust shortfall, and ensuring that any action taken was precise, legally sound, and in the public interest.
RECO is moving forward to reduce the financial impact on registrants while continuing to pursue recovery efforts and hold bad actors accountable.
Will this happen again? What is being done to prevent it?
The iPro matter was a serious and complex situation. RECO is taking concrete steps to reduce the risk of anything like this happening again, including assessing changes related to annual filings, trust account oversight and enhanced insurance programs.
RECO has also launched eight major transformation initiatives for 2026, including a:
- Culture renewal plan with a new performance management system,
- Regulatory modernization plan,
- Strengthened stakeholder engagement strategy focused on trust accounts, filings, insurance, and education,
- Digital and technology modernization roadmap,
- Financial sustainability strategy,
- Renewed governance approach,
- Public awareness campaign, and
- New strategic plan for 2027–2030.
These initiatives are designed to strengthen oversight, accountability, and early risk detection.
Commission owed by iPro Realty Ltd.
I am owed commission by iPro Realty Ltd. What should I do?
Agents are urged to file a commission protection claim form with the insurance claims adjuster, ClaimsPro LP. Claim forms need to be submitted for each deal with commissions outstanding (or that will become outstanding once the transaction closes) so they can be assessed promptly.
Submitting a form earlier will not change the amount of any claim payment – claims will be treated equally and paid, at the earliest, when a transaction closes and commissions are due. The insurer is exploring all avenues to try to pay out commission claims as quickly as possible.
To file an insurance claim form with the adjuster, please complete the following steps:
- Complete the Commission Protection Insurance claim form.
- Email it directly to claims@reco-claims.ca and include “Attention: Jan Perkins” at the top of your message.
- A ClaimsPro representative will contact you.
If you need assistance completing a claim form, please contact ClaimsPro directly. You may fill the form out to the best of your ability, and ClaimsPro will be in touch if they need additional information. You can contact ClaimsPro LP at 1-877-740-1913 or claims@reco-claims.ca. For general questions about iPro, email iproquestions@reco.on.ca.
To assist those preparing their claim form, a short instructional video is now available to guide you step-by-step through completing and submitting your commission protection insurance claim form.
RECO does not handle claims and is not able to provide information about your specific situation.
If you need assistance completing a claim form, please contact ClaimsPro directly. You may fill the form out to the best of your ability, and ClaimsPro will be in touch if they need additional information. You can contact ClaimsPro LP at 1-877-740-1913 or claims@reco-claims.ca.
RECO does not handle claims and is not able to provide information about your specific situation.
How long will the commission protection claims process take?
The claims adjuster and insurer understand the urgency of this matter for everyone affected. Agents are urged to file claim forms as soon as they are able, which is an essential step in the insurer’s investigation. Once your form is submitted, ClaimsPro LP will contact you directly.
The insurer and claims adjuster are currently assessing the claims forms received, to understand the full scope of the commissions that are owed to registrants affected by the iPro situation. Until this assessment is complete, commission claims cannot be paid. The insurer and claims adjuster are working tirelessly to expedite assessments and have brought on additional resources to support the review process.
Claim payment timing will depend on a number of factors, including fulsome documentation of the claim, commissions being due and payable, and confirmation of total claims anticipated.
RECO is not the insurer and cannot determine if there is coverage for your claim.
What happens if I submit an insurance claim under the Consumer Deposit or Commission Protection claims with an amended transaction that excludes iPro Realty Ltd.?
Please note that any claim submitted for a transaction that has been amended to remove iPro Realty Ltd. as the brokerage may not be eligible for coverage under the Consumer Deposit or Commission Protection claims. Making such changes to the original transaction could unfortunately affect the eligibility of all claims related to that transaction.
Can I change the brokerage listed in a transaction that originally involved iPro Realty Ltd., now that their accounts are frozen?
Any registrant considering adjustments to a transaction agreement—specifically to remove iPro as the brokerage of record—to consult with legal counsel. This includes any attempt to change the brokerage through an amended Confirmation of Cooperation Agreement, a mutual release of the original Agreement of Purchase and Sale, or any other method.
To comply with the law, amending a transaction to remove the original brokerage requires the agreement of all parties involved. In this case, that includes iPro Realty Ltd. Since iPro is no longer operating and its accounts are frozen, obtaining such agreement is not possible. Therefore, any amendment to remove iPro would not be legally valid.
Commission owed to iPro Realty Ltd.
My organization (e.g., brokerage, law firm, or other party) was involved in a transaction with iPro Realty Ltd. How do we make commission payments owed to former iPro agents?
If your brokerage, law firm, or another party was involved in a transaction with iPro Realty Ltd. and owes commission to iPro agents, please follow the instructions below.
Note on Payments: Out of an abundance of caution, and to ensure the secure handling of all commission and trust funds, RECO is not accepting Electronic Funds Transfers (EFTs) at this time. This policy is in place to help prevent technical issues and safeguard all involved parties.
Payment Instructions
Cheques or certified bank drafts must be made payable to iPro Realty Ltd.
Send to:
Attn: Dipak Parmar
Real Estate Council of Ontario
1400-3300 Bloor St W, West Tower
Toronto ON M8X 2X2
If iPro Realty Ltd. acted as the listing brokerage, referring brokerage, cooperating brokerage, or if a balance of commission is payable on or after the closing date (often paid by the vendor’s lawyer), please follow the same payment instructions outlined above.
When applicable, be sure to include the cooperating agent’s name and the property address related to the transaction.
Please send an email to dipak@reco.on.ca when the cheque has been sent. If available, please include in the email a copy of the Agreement of Purchase and Sale, the Confirmation of Cooperation and Representation, and the trade record sheet if one exists.
Commission Protection
Is there a limit on how much insurance will pay out?
The aggregate limit is $4 million for all Commission Protection claims related to this situation. The limit per claimant is $200,000 per individual, independent of the number of transactions that make up the total claim; it is not $200,000 per deal.
General
What happened to iPro Realty Ltd.?
Prior to a scheduled inspection, iPro identified to RECO a multi-million-dollar shortfall in iPro’s trust accounts. These funds — consumer deposits and commissions — should have been securely held in trust. Instead, they were misappropriated. This represents a serious and unacceptable breach of trust by iPro’s leadership and a violation of their legal obligations under Ontario law.
RECO’s focus is on safeguarding the interests of all registrants and their clients as this matter is resolved.
Steps RECO has taken to protect you and your clients:
Worked with the insurer to expedite the insurance review process, protecting buyers, sellers, and agents.
What if I want to go to a new brokerage?
To support agents during this time, RECO will either waive or reimburse transfer fees, including for those agents who may have transferred immediately from iPro to iCloud and wish to transfer to a new brokerage in the coming weeks.
If you have additional questions about the transfer process, please contact information@reco.on.ca.
What if I want to start my own brokerage?
Any agent who wants to start a new brokerage should follow the process which can be found here.
Some former iPro Realtors have said they were part of tax remittance programs — leaving a portion of their commission income in iPro’s accounts to be either remitted to the CRA or returned to them at tax time. Now that those accounts are frozen, is there a process in place for these registrants to recover those funds or redirect them to the CRA? Has RECO provided any guidance on how to proceed?
In instances where registrants had funds held in an iPro account as part of a tax remittance program managed by iPro — whether for income tax or HST — we understand the added pressure and concern this has raised. The insurance program manager recommends that your best recourse would be to consult with legal counsel or an accountant.
