Group Benefits

July 30 2026

Can Your Family’s Medical History Affect Your Insurance Eligibility or Rates?

Pat McIver Group Benefits, Health Insurance, Life Insurance Family's Medical History, Group Benefits, McIver Insurance

If your father had a heart attack at 52, or your mother was treated for cancer, seeing a family-history question on an insurance application can make it feel as though the decision has already been made. It has not.

Nine in ten people in Canada have at least one key modifiable risk factor for heart disease or stroke, according to Heart & Stroke. Family history is one part of underwriting, not a verdict on your health or your ability to get coverage.

This guide explains what insurers ask, how a parent’s or sibling’s diagnosis may affect life, critical illness, and disability coverage, and where Canadian law draws the line on genetic testing.

I’m Pat McIver, BRM, CEBS. With over 10 years of experience, I help families across Halifax, Dartmouth, Bedford, Truro, Yarmouth, and throughout Nova Scotia understand these questions and compare options without guessing.

Does Family Medical History Affect Your Insurance?

Yes, your family’s medical history can affect your life, critical illness, and disability insurance. Insurers use it to estimate your risk of developing the same hereditary conditions, which can raise your premium or place you in a different risk category. However, it rarely makes you ineligible on its own, and Canadian law limits what insurers can ask beyond family history itself.

The age at which a relative was diagnosed often carries more weight than the diagnosis alone. A single condition that appeared late in life may be assessed differently from several close relatives developing related conditions at younger ages.

That is why applications ask for specific relatives, conditions, and ages instead of simply asking whether illness runs in the family. The details help the insurer separate a broad family concern from a pattern that may have more underwriting weight.

What Family Health Details Do Insurers Actually Ask About?

Most applications focus on close biological relatives and a defined set of serious conditions. The exact wording varies by insurer and product, so answer the application in front of you rather than relying on what another company asked.

The conditions insurers focus on most

The main conditions and family patterns commonly reviewed include:

• Heart disease, heart attack, or stroke, especially when diagnosed at a younger age

• Cancer, particularly repeated cases of the same or related cancers

• Diabetes and serious complications connected to it

• Kidney disease

• Some hereditary neurological or mental health conditions, depending on the application

• Serious illness or death in a close relative before the age stated on the form

Heart & Stroke explains that genes and shared family habits can both affect heart and stroke risk. The application is looking for a pattern, but the underwriter still considers your own health, treatment, and lifestyle alongside it.

Who counts as immediate family for underwriting?

Most applications focus on biological parents and siblings. Some also ask about your children, while grandparents, aunts, uncles, and cousins often fall outside the main question.

For an adopted person, the application may ask about biological family history because it is measuring inherited risk. When that history is unknown, say that it is unknown rather than guessing or substituting an adoptive relative’s condition.

When the wording is unclear, ask your broker before the application is submitted. A clear answer at the start is easier to deal with than correcting an assumption later.

Family History vs. Genetic Testing: What Canadian Law Protects

The Genetic Non-Discrimination Actis a federal law that stops insurance companies from requiring a genetic test or asking to see genetic test results as a condition of coverage. It does not stop an insurer from asking about your family’s medical history.

Family medical history means the health conditions your parents, siblings, or children have had. A genetic test result is a specific laboratory finding about your own DNA. Canadian law treats these two categories of information very differently.

What the Genetic Non-Discrimination Act covers

Under the Genetic Non-Discrimination Act, Section 3 prohibits requiring a person to take a genetic test as a condition of providing a service or entering into a contract. Section 4 also prohibits requiring someone to disclose an existing genetic test result as a condition of that contract.

Section 5 requires written consent before genetic test results can be collected, used, or disclosed. A serious breach can carry a fine of up to $1 million, imprisonment for up to five years, or both.

Use these three columns to separate the information being discussed, the insurer’s legal limit, and what you still need to answer on an application.

Information	Can an insurer require it?	What to remember
Family medical history	Yes, an application can ask about it	Answer the exact question honestly, including the relative and age at diagnosis when requested
Taking a new genetic test	No, it cannot be required as a condition of coverage	You cannot be refused solely because you declined to take the test
Disclosing an existing genetic test result	No, it cannot be required as a condition of coverage	Written consent is also required before the result can be collected, used, or shared

The key point is that a question about your relatives’ health is not the same as a request for a laboratory result about your DNA.

What the Act does not cover, and why that matters

The Act does not make family-history questions illegal or optional. You still need to answer them honestly because the insurer is assessing the information requested on the application, not ordering a genetic test.

The Canadian Cancer Society reports that about 5% to 10% of cancers are inherited. A cancer diagnosis in one relative does not prove that you carry an inherited mutation, but the number of relatives affected and their ages can still matter to underwriting.

If an application asks you to take a genetic test or hand over existing test results as a condition of coverage, that request is not legal. A question about your parents’ or siblings’ health is different, and you still need to answer it honestly.

Once that legal boundary is clear, the next question is how the information can affect the offer you receive.

How Family History Changes Your Premium or Eligibility

An underwriter looks at the condition, which relative was affected, the age at diagnosis, whether the same issue appears across the family, and what your own health shows. The result is rarely based on one family detail by itself.

What underwriters weigh most

For heart disease and stroke, risk is considered higher when a close relative was diagnosed early, typically before age 55 for men and before age 65 for women. Those thresholds should not be applied to every cancer, diabetes diagnosis, or other condition because each application sets its own wording.

Your personal health questions may use a defined look-back period, while family-history questions may ask about a relative’s diagnosis whenever it occurred. The exact time period, age threshold, and amount of detail depend on the insurer, product, and coverage amount.

The range of possible underwriting outcomes

Compare these outcomes by what the insurer is offering now and what additional condition, cost, or waiting period may be attached to that offer.

Outcome	What it means	How family history may factor in
Preferred or standard	Approved at typical or better pricing	No material family pattern, or the affected relative was diagnosed later in life
Rated	Approved with a higher premium	A hereditary condition appears in a close relative, especially at a younger age
Postponed	The decision is delayed	The insurer wants more information, a test result, or a period of stable follow-up before deciding
Exclusion	A specific condition is not covered	More common on critical illness or disability coverage than on life insurance
Declined	Coverage is not offered at this time	Less common from family history alone and more likely when combined with the applicant’s own health or lifestyle factors

In practice, family history often changes the terms of an offer before it removes the option of coverage entirely.

For larger amounts or a more complex history, the insurer may request an Attending Physician Statement. That gives the underwriter more detail about your own health instead of relying only on the family pattern.

Life Insurance vs. Critical Illness vs. Disability: Does Family History Matter Differently?

The same family history is not treated identically across every type of coverage. Each policy pays for a different event, so the underwriter is measuring a different risk.

Why the product type changes the review

Life insurance pays a benefit after death. Critical illness insurance and disability insurance can pay while you are alive, so family and personal health history may receive closer attention on those applications.

Use the comparison to see what event triggers each policy and where family history is more likely to affect pricing, exclusions, or requests for more information.

Coverage type	How it pays	How family history may be reviewed
Life insurance	A lump sum to beneficiaries after death	Reviewed, but eligibility rarely turns on family history alone
Critical illness insurance	A lump sum after diagnosis of a covered condition	Often reviewed more closely because the insurer may pay after a covered diagnosis during your lifetime
Disability insurance	Monthly income when illness or injury prevents you from working	Reviewed for conditions that could affect your ability to work over time

The difference is not simply whether you qualify. It can also affect whether the insurer uses a higher premium or a condition-specific exclusion.

Read the offer, not just the price

A lower premium is not automatically the better offer if the condition you are most concerned about has been excluded. Compare the covered events, exclusions, waiting periods, benefit periods, and the amount of protection before deciding.

A result from one product does not decide the other two. One insurer may be comfortable with a family cancer pattern for life coverage while offering different terms on critical illness or disability coverage.

This is also why comparing carriers matters. Underwriting guidelines are not identical, and a product that looks difficult with one company may still be available on workable terms through another.

How Insurers Verify What You Tell Them

The application is the starting point. An insurer may compare your answers with other information when the coverage amount, your own health, or the family history calls for a closer review.

The checks an insurer may use

The main verification steps may include:

• Health questionnaire: You answer questions about your health, family history, medications, treatment, lifestyle, and previous applications.

• Attending Physician Statement: For larger amounts or a more complex history, the insurer may request a summary from your doctor. McIver’s guide explains what an Attending Physician Statement is and why it may be requested.

• Medical Information Bureau: With your authorization, a member insurer may compare the application with coded information in an MIB consumer file. MIB consumer-file guidance explains that the file is not a full medical chart and cannot support an adverse decision without further investigation.

Your consent still matters

An insurer is not given open access to every medical record you have. You normally sign an authorization that identifies the information being requested and the purpose connected to the application.

Under PIPEDA, consent must be meaningful, which means you should understand the nature, purpose, and consequences of what you are agreeing to. Genetic test results have the separate written-consent protection set out in the Genetic Non-Discrimination Act.

None of these protections makes it safe to omit a diagnosis or family detail that the application clearly asks for. An inaccurate answer can create problems when the policy is reviewed or a claim is made.

Keep the application moving

Having doctor names, medication details, and follow-up dates ready can also prevent avoidable delays when more information is requested.

What You Can Do If Your Family History Raises Your Rates

Family history is fixed, but it is not the whole application. Heart & Stroke says that up to 80% of premat u re cases of heart disease and stroke can be prevented through healthy behaviours, which is one reason insurers also look at your own health and follow-up care.

Five steps that can help your application

Start with these practical actions before deciding that a higher rate or difficult family history leaves you without options:

• Keep your own health measurable and well managed, including regular appointments, prescribed treatment, and current test results.

• Compare more than one insurer because family-history guidelines can differ by company.

• Use the life insurance calculator to check whether the amount of coverage still matches your family’s needs before comparing prices.

• Review the other factors that may affect your life insurance premium, including age, smoking, personal health, and lifestyle.

• Ask whether simplified-issue or guaranteed-issue coverage makes sense when traditional underwriting is not producing a workable offer.

Applying to several companies without a plan can create extra work and additional records of prior applications. A broker can narrow the field before a formal application is submitted.

Not sure whether life, critical illness, or disability coverage fits your family’s health picture? Book a call and let’s find a plan that actually fits your family and your budget.

Get Clear on Your Insurance Options Before You Apply

Your family’s health history is one piece of the picture, not the whole story. I take the time to understand your unique situation, then bring you options from trusted providers like Medavie Blue Cross, so you’re choosing coverage instead of guessing at it.

I don’t charge fees or commissions for my work. I get paid by the insurance companies, so my only job is finding you the right plan.

Let’s talk about your family’s coverage. Call 1-902-220-3279.

Family Medical History and Insurance FAQs

Does having a parent with cancer mean I’ll be declined for life insurance?

No. A parent’s cancer diagnosis usually affects your premium rather than your eligibility, especially if they were diagnosed later in life. Insurers look at which relative was affected, the specific cancer, and the age at diagnosis before adjusting your rate.

Can an insurance company find out my family’s medical history without asking me?

Not typically. Insurers rely on the health questionnaire you complete and, for some claims, an Attending Physician Statement from your doctor. Under Canada’s federal privacy law, they need your written consent before accessing your medical records.

Does critical illness insurance care more about family history than life insurance?

Often, yes. Critical illness and disability insurers are paying out while you’re still alive, so they tend to review your family and personal health history more closely than a life insurer would. That can mean more exclusions or a longer look-back period on these products.

Can I be asked to take a genetic test to get life insurance in Canada?

No. The Genetic Non-Discrimination Act makes it illegal for an insurer to require a genetic test or ask for existing genetic test results as a condition of your coverage. Your family’s medical history is a separate question, and you’re still required to answer it honestly.

What should I do if my family history is pushing my rates higher?

Compare quotes across insurers, since underwriting guidelines for family history vary by company. Keeping your own health measurable and well managed also helps, and a broker can match you to the insurer that treats your specific family history most favourably.

May 18 2026

How to Audit Your Group Benefits Plan Annually

Pat McIver Group Benefits Group Benefits

Let’s be honest, auditing your company’s group benefits plan is likely not on your top “fun” work-related activities.

Reviewing all that paperwork to ensure it meets compliance requirements can be stressful, boring, and time-consuming.

However, auditing your group benefits plan annually is essential to ensuring your employees stay financially protected, and your business stays compliant with applicable laws and regulations.

An annual audit gives you a chance to measure how well the plan is actually performing. It helps uncover billing mistakes, outdated records, eligibility issues, service concerns, and areas where the plan may no longer match the needs of the workforce. This is all vital information that can be strategically and financially beneficial for your business in many ways.

So, don’t dread your next benefits audit. Instead, read on to understand how to audit your group benefits plan in a manner that isn’t intimidating but informative.

Let’s help you make smarter decisions!

Why Auditing Your Group Benefits Plan Annually Matters?

While it is great that your business offers your employees a group benefits plan, it means nothing if that plan isn’t providing your employees with the coverage they need or the peace of mind they deserve.

An annual audit allows for a structured review of how a group benefits plan is operating. It includes reviewing data on costs, enrollment, claims activity, compliance responsibilities, and overall plan performance.

By going through the data, the businesses can correct any issues that can build up over time. This can include:

Removing employees from the plan who are no longer part of the company.
Adjusting payroll deductions to match current premium rates.
Ensuring coverage matches workforce needs.

An annual audit helps catch these issues before they become larger problems. It also allows for better oversight and cleaner data for decision-making. From the employee side, it helps confirm that coverage remains useful, accurate, and easy to access.

7 Steps To Effectively Audit Your Group Benefits Plan

Now that you understand why auditing your group benefits plan matters, let’s look at what steps you should take to get the most out of it.

1: Start With Plan Documents and Core Records

A strong audit usually begins with a review of the basics. This includes going through key documents and records, such as:

Signed contracts with insurers and service providers
Benefit summaries
Contribution records
Enrollment forms
Payroll deduction records
Eligibility files
Administrative procedures

A careful review of these documents can help resolve one of the most common issues businesses run into: having inconsistent information across multiple systems or documents.

We often see this in payroll records that may show one contribution structure while the insurer has another.

A plan document review helps confirm that everything lines up properly and that your summary plan description, wrap plan documents, and other service provider contracts are current and relevant.

These audits also go a lot smoother with proper recordkeeping. Clear, organized records make renewals easier, reduce confusion, and help protect the business if questions ever arise later.

2: Review Eligibility, Enrollment, and Census Accuracy

Arguably, one of the most valuable parts of an annual review is going through participant data carefully.

This includes reviewing:

Active employee enrollment
Dependent eligibility
Employment status changes
Employee terminations
Waiting periods
Payroll deductions
Leave-of-absence records

A review of this data provides vital insights and also uncovers small enrollment errors that can become expensive over time.

Common errors can include:

Having ex-employees who are still enrolled, who should have been removed from coverage months ago.
Having ineligible dependents who have remained enrolled accidentally.
Having payroll systems that aren’t updated to match contribution amounts.

Carefully reviewing the census files and enrollment data can help reduce unnecessary costs while also preventing future claim issues or employee frustration.

For businesses with growing teams or seasonal staffing changes, this step can be especially beneficial.

3: Audit Claims Trends and Plan Usage

How your employees are claiming benefits and using their group benefits plan also tells an important story.

Thus, during an annual audit, you should also look at trends across areas such as:

Prescription drug claims
Dental claims
Disability claims
Paramedical services
Extended health benefits
Mental health support

The goal is to understand where the plan is delivering value, where costs may be increasing, and whether employees are getting the support they genuinely need.

For example, higher mental health claims may reflect growing demand for counselling services rather than misuse, while increased prescription drug costs could point to specialty medications becoming more common across Canadian workplace benefits plans.

Reviewing claims processing and claims adjudication data can help employers identify patterns early and tailor coverage accordingly.

In some cases, employers may also work with insurers or drug plan administrators to better understand prescription drug spending trends and potential cost-management options.

4: Check Compliance and Governance Responsibilities

Compliance is a major part of a benefits audit.

Group benefits plans come with administrative, privacy, and governance responsibilities that employers need to stay on top of each year. As regulations evolve and workplaces become more digital, it is important to make sure internal processes and plan administration practices are still current.

During an annual review, employers may want to assess:

Employee privacy and data protection procedures
Plan administration processes
Documentation standards
Payroll deduction accuracy
Record retention practices
Employee communication procedures
Disability management and accommodation practices
Vendor data handling and cybersecurity measures

In Canada, privacy obligations are especially important because benefits plans involve sensitive employee information. Depending on the province and how the organization operates, employers may need to comply with privacy legislation such as the Personal Information Protection and Electronic Documents Act (PIPEDA) or applicable provincial privacy laws.

Employers should also review whether their internal procedures still align with insurer requirements, employment standards obligations, workplace accommodation expectations, and evolving human rights requirements.

The goal is not to turn employers into legal experts. It is about making sure the plan is being managed consistently, responsibly, and with clear oversight. This reduces operational risk, improves administrative accuracy, and supports better long-term governance.

5: Review Vendors, Advisors, and Service Performance

A benefits plan depends heavily on the quality of the partners supporting it.

That is why employers should regularly assess the performance of their insurers, advisors, administrators, payroll providers, and other service partners.

Questions worth asking include:

Are employees receiving timely support?
Are claims being handled properly?
Is communication clear and responsive?
Are reports accurate and easy to understand?
Are service issues being resolved efficiently?
Is the business receiving strong overall value?

If managing the plan feels consistently confusing or time-consuming, that may point to deeper service gaps.

This part of the audit may involve reviewing third-party administrator performance, service provider contracts, reporting quality, internal controls, and overall plan administration support.

Strong partners should make benefits management easier, not harder.

6: Watch for High-Risk or High-Cost Areas

Some areas of a benefits plan deserve closer attention because they carry higher financial or operational risk.

Today, many Canadian employers are paying closer attention to:

Rising prescription drug costs
Mental health parity and workplace accommodation support
Long-term disability claims
Dependent eligibility verification
Cybersecurity practices
Participant data accuracy
High-cost specialty medications
Administrative or operational errors

Cybersecurity has become especially important as more Canadian businesses rely on cloud-based payroll systems, digital enrollment platforms, and electronic employee records.

Benefits plans contain sensitive employee information, which means businesses need confidence that insurers, administrators, and vendors are handling data securely.

An annual review can help employers identify risks earlier instead of discovering problems after they become expensive or disruptive.

7: Improve Plan Design and Employee Value

A benefits audit should not only focus on identifying problems. It should also help employers improve the overall value of the plan.

Audit findings often help guide decisions around:

Renewal negotiations
Cost-sharing structures
Coverage updates
Employee communication
Wellbeing support
Education initiatives
Service improvements

For example, claims data may reveal that employees are heavily using mental health services while rarely using another benefit category. That insight could help shape future plan design decisions.

In other cases, the review may uncover communication gaps where employees simply do not understand what their employee benefit plan includes.

The best health and welfare plan is not always the one with the most coverage. It is the one that balances affordability, sustainability, and meaningful support for employees.

For Nova Scotia employers competing for top talent in a challenging labour market, that balance matters more than ever!

Establish an Annual Audit Process Checklist

An effective audit process does not need to be overly complicated. It simply needs to follow a clear structure.

Preparing an audit checklist is often the way to go.

Here’s our recommended version:

Gather all plan documents and reports
Review enrollment and payroll data
Confirm participant eligibility
Assess claims trends and utilization
Check compliance and operational compliance items
Review vendor and insurer performance
Identify service gaps or operational concerns
Create an action plan before renewal discussions begin

Remember, consistency is key. Over time, regular audits create stronger internal controls, cleaner records, better decision-making, and a more organized approach to benefits management.

Partner With Halifax’s Most Trusted Group Insurance Broker

The biggest challenge that small business owners are facing in Nova Scotia is their ability to retain and attract top talent.

To get around this problem, many small businesses consider offering their employees perks, often in the form of group benefits. But in most cases, they never do because they are worried about the cost and complexity of managing a group benefits plan.

We are here to tell you that a group benefits plan isn’t just affordable but easy to manage, especially with our team at your side.

At McIver Insurance Inc., we believe that group benefits should be offered by all businesses, no matter how small. Our Medavie Blue Cross small business group benefits plan is designed specifically for businesses with 2-10 employees. The plan offers competitive pricing and flexible coverage, making it one of the most viable options for growing businesses.

Book a Free 30-minute consultation or get a free quote for your business. Call 1-902-220-3279 or email Pat McIver, BRM, CEBS, at pat@mciverinsurance.com.

FAQs

What is a group benefits plan audit?

A group benefits plan audit is a yearly review of how the plan is operating, including costs, eligibility, claims activity, documents, compliance, and service provider performance.

Why should employers audit their benefits plan every year?

An annual audit can help catch errors, control unnecessary costs, improve plan administration, and confirm that the plan still fits the needs of the business and its employees.

What should be included in a benefits audit?

A good audit often includes plan documents, enrollment records, payroll deductions, claims data, compliance items, vendor contracts, and service performance.

How can an audit reduce benefits costs?

It can help identify issues such as ineligible dependents, billing errors, outdated plan design, or rising cost areas that need closer review.

Who is responsible for auditing a group benefits plan?

The plan sponsor is usually responsible for oversight, though they may work with advisors, administrators, insurers, insurance brokers, or other professionals during the review.

How often should a group benefits plan be reviewed?

A formal review is often done annually, though some employers also check key data quarterly to catch issues sooner.

December 29 2025

Seasonal and Part-Time Workers: Are They Eligible for Group Benefits in Nova Scotia?

Pat McIver Group Benefits Group Benefits, Nova Scotia

Seasonal and part-time workers keep many Nova Scotia businesses running, especially in key industries such as tourism, fisheries, agriculture, retail, and construction. In many ways, this labour supply is essential for supporting Nova Scotia’s rural and urban economy.

But are these workers eligible for group benefits?

They can be, but it is by no means guaranteed. It depends largely on the employer, as Nova Scotian law doesn’t require employers to provide part-time/seasonal workers group benefits. Employers only need to meet statutory minimums like vacation pay.

However, never assume you aren’t eligible. Many Nova Scotian employers understand the importance of this labour supply and may offer group benefits in conventional or unconventional ways.

Seasonal or Part-Time Workers: Who Are They?

Ever wondered who picks all those delicious apples from Nova Scotia’s vast apple orchards? Or who makes your favourite cup of coffee in the morning? It is very likely that those products would never make it to you if it weren’t for seasonal or part-time workers.

The same can be said for Nova Scotia’s world-renowned lobsters. These succulent seafood delights wouldn’t be possible if it weren’t for lobster fishermen who are only allowed to hunt during a certain season to ensure lobster stock reserves aren’t depleted.

These lobster fishermen and fruit pickers are seasonal employees who are hired annually for a fixed busy season (less than six months during the same time of the year). Their hours may rise and fall week to week, and when the season or project ends, so does their employment.

Part-time employees, on the other hand, have an ongoing role but work fewer hours than the full-time threshold.

Employees That Don’t Qualify as Seasonal or Part-Time Workers:

Independent contractors
Gig workers
Self-employed individuals

These people aren’t considered employees, and as such aren’t classified as seasonal or part-time workers. They typically do not qualify for group benefits under insurer rules.

What Are Group Benefits?

Group benefits are often a one-size-fits-all benefits package (perks) offered by an employer/organization to its employees and members under one master policy.

The advantage of group benefits is lower costs as risk is pooled. These benefits are offered by employers to attract and retain talent and often include a combination of insurance and other perks (like extended health care benefits, dental coverage, drug coverage, life insurance, disability insurance, vision care, and more).

However, group benefits aren’t just offered by large companies. Many small business owners in Nova Scotia offer group benefit plans to employees through specialized plans like the ones offered by Medavie Blue Cross.

Small business group benefit plans are designed for 2-10 employees and can offer comprehensive life benefits at competitive prices, making it worthwhile for both employers and employees.

Eligibility and Requirements for Group Benefits

Whether you are eligible for group benefits as a part-time or seasonal worker depends largely on your employer.

Many Canadian employers offer group benefits to their full-time employees, but often neglect part-time or seasonal staff.

However, this trend is changing, especially in Nova Scotia.

More and more employers now offer some form of coverage to part-time or seasonal employees in the form of scaled-down versions of full-time benefit packages.

However, part-time or seasonal employees usually have to work a certain number of required hours (weekly or monthly) to be eligible.

Eligibility rules must be clear, measurable, and applied across the board. Common approaches include:

A weekly minimum, like 20 or 30 hours
A monthly hours total (e.g. 100 monthly hours)
A full-time equivalent method to standardize eligibility

While this can be quite straightforward for full-time employees, meeting eligibility requirements can be harder for part-time and seasonal roles.

As such, it is essential for employers to clearly define how average hours are calculated on the employment contract, handbook, and benefits booklet. This avoids confusion and protects employers during audits or claims reviews.

If an employee is still unsure whether they are eligible or not, they should consult with their boss, HR manager, or benefits broker.

Waiting Period for Group Benefits

Just meeting a certain quota of hours doesn’t make you automatically eligible.

Benefits only kick in once you spend x amount of time working for your employer. This time spent is referred to as the waiting period; the time between you being hired and when coverage starts.

Employers commonly set up waiting periods to be:

First of the month
After 30, 60, or 90 days
After an agreed-upon probation period

As an employer, it is essential to let your employees know when coverage begins, when they must enroll, and what happens if they miss the enrollment window.

For returning seasonal workers, decide in advance if prior service counts toward eligibility. This matters more than people expect.

Coverage Options That Fit Part-Time and Seasonal Staff

Part-time and seasonal workers can’t be offered the same extensive benefits as full-time employees. This is because there is a cost associated with providing group benefits, which usually doesn’t make viable business sense for non-full-time employees.

Luckily, employers don’t have to offer extended health coverage or full benefits.

To lower costs, many employers choose to trim down their benefits package by reducing life insurance coverage, dental maximums, and more.

After all, some coverage is better than no coverage, especially for part-time and seasonal workers, who, let’s face it, usually get no coverage at all.

Providing even a few vital benefits can be a great way for seasonal employers to attract and retain the best talent without hurting their bottom line.

Alternatives to Full Coverage for Seasonal and Part-Time Workers

If you are a small business owner who relies on part-time and seasonal staff, offering group benefits can be a great way to increase morale, loyalty, and productivity.

However, most small business owners think they can’t afford to do that. That isn’t true.

While traditional group health coverage may not fit your budget, there are plenty of other options.

Health Spending Accounts in Canada

Employers can set up a health spending account for their part-time and seasonal employees. This employer-funded account can be used to reimburse eligible health expenses with controlled spending caps.

Wellness Stipends

Simple yet effective. Wellness stipends provide monthly or seasonal allowances for fitness, counselling, or preventive care.

Portable benefits

Accounts or supports that stay with the employee work well for mobile seasonal workforces. Non-insurance perks, like paid time off accrual where permitted or even employee discounts, can help.

Giving Seasonal and Part-Time Workers the Protection They Deserve!

As an employer, it is up to you to provide your seasonal and part-time workers with group benefits. This isn’t just advantageous for your employees but also for your business.

Setting up a group benefits plan is also simpler than it ever was. Most of the process today is digitalized and offers a ton of flexibility whereby employers can set clear rules, sensible hours threshold, and fair waiting periods.

Done right, benefits support better hiring, stronger retention, and cleaner compliance.

Have questions? Book a FREE no-obligation call today!

FAQs

Can part-time employees get group benefits in Canada?

Yes. If the plan allows it and the employee meets the minimum hours and waiting period, they can qualify.

What is the usual minimum hours requirement?

There is no single standard. Employers choose a weekly or monthly threshold that fits their workforce and insurer rules.

Do seasonal employees qualify during busy months?

They can, if they meet the hours requirement and complete the waiting period.

Do contractors qualify for group benefits?

Generally no. Contractors are not employees and do not meet group plan eligibility.

What if full health coverage is not affordable?

Plenty of alternatives exist, like Health Spending Accounts, wellness stipends, and scaled-down benefit packages.

Can part-time staff join a retirement plan?

In some rare cases, yet. Some plans may allow it after certain service requirements are met. Check your plan document and local rules.

August 1 2025

How to Set Up a Group Benefits Plan for Your First Employee

Pat McIver Group Benefits Group Benefits

Hiring your first employee can be exciting and nerve-wracking. After all, you were a one-person army, and now you are taking on an added responsibility and cost.

However, to grow, hiring is a must. It is an essential milestone for any business owner and a sign that your business is growing.

However, finding a suitable first hire is easier said than done. Apart from the qualities you want from an employee, you also need to consider what that employee would want from you.

Key Takeaways:

Bespoke flexible tax-advantaged benefits like QSEHRA or ICHRA are ideal for smaller businesses with 1-10 employees
A budget of approximately 1.25 to 1.4 times salary is needed to include group benefits that comply with local and federal law
Retirement perks like SIMPLE IRAs or MEPs are also great options that offer competitive benefits with low administrative costs
Digital tools and PEOs make setup, admin, and compliance a whole lot easier

Why Group Benefits Matter for Your First Hire

According to a study published by OMHRA, 80% of Canada’s workforce considers group benefits when evaluating job opportunities.

However, a survey conducted by Abacus Data for Medavie Blue Cross found that 80% of SMEs in Ontario, Quebec, and Atlantic Canada did not provide their employees with group benefits.

This shows a sizable gap in the market and one that fledgling businesses can exploit.

But what type of group benefits plan would be best suited for your first employee? What options do you have, and can you afford them?

Let’s break it all down.

Understanding the Benefits Landscape for Small Employers

SMEs in Canada generally have the following options when it comes to group benefits:

QSEHRA: Qualified Small Employer Health Reimbursement Arrangement is an IRS-approved health benefit plan designed specifically for small employers. This plan allows employers to reimburse employees for eligible healthcare expenses and individual health insurance premiums on a tax-free basis.
ICHRA: Individual Coverage Health Reimbursement Arrangement is another specialized group benefits plan that allows small to medium-sized employers to reimburse employees for individual health insurance premiums and other qualified medical expenses tax-free.
Traditional group insurance is the most common form of employer-sponsored benefits plan in Canada. This type of plan offers uniform coverage, often including disability insurance, life insurance, medical, dental, and vision care.
PEOs: Professional Employer Organizations, or association group plans, provide comprehensive human resources services for SMEs. PEOs can handle all types of HR functions, including payroll processing, benefits administration, compliance, and workers’ compensation, minimizing the administrative work for small employers.

In today’s competitive labor market, employees place value on group benefits that include dental and vision coverage, free mental health services, life insurance, and wellness perks like gym memberships or therapy.

Top-tier talent also looks for benefit packages that offer financial support tools (budget coaching, RRSP matching), virtual care, and telehealth.

These “extra benefits” aren’t just dangling carrots. Employees value these added perks. As a small employer, providing these extra benefits can help you stand out in the market.

Choosing the Right Group Benefits Plan

Let’s break down each plan for further clarity and more informed decision making:

Plan Type	Best For	Key Features	Downsides
QSEHRA	Very small teams	Reimburses employees for personal insurance and expenses, tax-free	Annual contribution limits
ICHRA	Teams with mixed employment types	Customizable by role or department; no contribution cap	Complex admin
Traditional Plan	Larger or growing companies	Group health insurance, often bundled with dental, vision, etc.	Higher premiums for small teams
PEO or Association Plan	Microbusinesses wanting scale	Shared HR and benefits services	Less flexibility in plan design

TOP TIP: If you are setting up a group benefits plan for your first employee, QSEHRA is often your best and most budget-friendly option.

Steps to Set Up a Group Benefits Plan for Your First Employee

Setting up a group benefits plan is a 3-step process.

The first step: Choosing the type of coverage and plan you want to offer your employees.
The second step: Determining what type of benefits would be most attractive for the type of employees you want to hire.
The third step: Determining cost and deciding what benefits to offer and which ones to forgo.

Having a strategy in place is therefore essential. The best way to come up with said strategy is to consult with a trusted insurance broker that specializes in benefit plans for SMEs.

If that’s what you seek, call Pat McIver at 1-902-220-3279 or click here to book a free, no-obligation 30-minute consultation.

Budgeting for Benefits

The real cost of an employee isn’t just their paycheque. As an employer, you are also responsible for their physical and mental well-being.

Group benefits can help take care of that and can give you and your employee much-needed peace of mind.

But what does it cost?

For a small employer, setting up a group benefits plan can cost about 1.25 to 1.4 times an employee’s salary. Here is a simple formula to give you a ballpark estimate.

Total compensation = Employee Salary + 25% to 40% of salary in benefits

This added percentage can help cover a range of benefits. Below is a table that helps break it down.

Benefit Type	Estimated Annual Cost
Health & dental (QSEHRA or pooled)	$2,000–$4,000
RRSP or retirement match	$1,000–$2,500
Life/disability insurance	$200–$500
Wellness/mental health	$200–$600

Employers can also choose to share benefit costs with their employees. For example, an employer can offer to pay 50% to 80% of the premium costs and let the employee pay the rest through payroll deductions.

Remember, HRAs are tax-free for your employee and tax-deductible for you.

Legal Compliance and Regulations

Compliance and regulations also play an important role when setting up a group benefits plan.

Canadian employers must stay compliant with:

Federal and provincial employment standards
CRA rules for tax treatment of benefits
Any specific licensing or plan rules under ERISA, ACA, or HIPAA if you’re hiring cross-border

As an employer, be sure to:

Outline eligibility (e.g., full-time, part-time, contractors)
Set waiting periods if needed (usually 30 or 90 days)
Provide all required notices and paperwork
Always document how your plan supports equity and inclusion

Retirement Plan Options for Microbusinesses

While retirement plans were once unattainable for SMEs, today, Canadian small businesses can tap into a range of retirement plan options, including:

SIMPLE IRAs: Individual retirement accounts that are easy to set up and have low admin costs
RRSP Group Plans that offer tax-deferred savings for employees
Multiple Employer Plans (MEPs) that pool admin and compliance, making them more affordable

The Secure Act also makes it easier for small employers to offer retirement benefits without taking on huge responsibilities.

Here is a table that outlines the ease of setting up a retirement plan for your first employee.

Plan Option	Employer Contribution	Setup Time
RRSP Match	Optional	1–2 weeks
SIMPLE IRA	Required match or % of pay	2–3 weeks
MEP	Pooled plan across employers	Depends on provider

Employee Communication and Onboarding

Providing benefits is one thing, but if your employees aren’t aware of them or don’t know how to use them, what’s the point?

This is why communicating benefits is so important, especially when onboarding your first hire. You need to:

Walk them through the full compensation package
Explain each benefit in plain language
Provide a simple FAQ or one-pager with links and contact info
Talk openly about mental health, time off, and how to access support

Growing with Flexibility and Scalability in Mind

One employee today could mean five by next year. Pick plans that grow with you.

Ask yourself:

Can this platform add users easily?
Can I offer different benefits to different types of employees?
Can I adjust the budget or coverage as things change?

Only choose a plan that ticks all relevant boxes and check in regularly to make sure the chosen plan still makes sense.

Don’t be shy to ask for employee feedback, review plan usage, or explore new options like:

Telemedicine (like Maple or Akira)
Wellness spending accounts
Financial literacy tools or coaching apps

Group Benefits Plan for Nova Scotian Employers

Setting up a group benefits plan doesn’t have to be complicated or costly.

With tools like QSEHRAs, pooled retirement plans, and digital admin platforms, even solo employers can offer competitive, caring coverage.

At McIver Insurance Inc., we specialize in group benefit plans designed for 2-10 employees that grow with your business. Call now to learn more.

FAQs

Q1) Do I need to hire an HR person to manage benefits?

No. Many small businesses use benefits software or work with brokerages like McIver Insurance to handle setup and support.

Q2) What’s the difference between group insurance and an HRA?

Group insurance is a single policy covering all employees. HRAs reimburse employees for individual plans and out-of-pocket expenses.

Q3) Can I offer dental and vision without a health plan?

Yes. You can customize your package to include only the benefits you want, including dental, vision, or wellness perks on their own.

May 22 2025

Group Benefits vs. Health Spending Accounts (HSA): Which is Better for Your Team?

Pat McIver Group Benefits Group Benefits, Health Spending Accounts

41% of Canadians receive benefits through an employer plan, whether that be through group benefits, health spending accounts, or a combination of both.

But what are group benefits and HSAs? How effective are these plans in helping attract and retain top talent? And which is better for your team?

Let’s find out!

Key Takeaways:

Understanding the pros and cons of Group Benefits and HSAs
Learning about the financial impact of employer plans on employers and employees
Discovering the flexibility and tax perks of each option

What Are Group Benefits and HSAs?

Group Benefits

Think of group benefits like your go-to order at your favourite pub — dependable, bundled, and satisfying.

Traditional group benefits plans include health, dental, and vision coverage, as well as added benefits such as life insurance, disability insurance, critical illness insurance, and accidental death and dismemberment, all wrapped up in one comprehensive plan.

Companies and businesses that offer group benefits tend to be more appealing to employees than those that don’t.

Not too long ago, only larger companies offered group benefits, as these plans were traditionaly expensive and complex.

However, with the help of plans like Medavie Blue Cross, group benefits are now attainable for businesses with even 2-10 employees, allowing businesses of all sizes to protect their most prized assets, their employees.

Health Saving Accounts (HSAs)

HSAs are a bit different. They aren’t as comprehensive, complex, or expensive as group benefits, but allow for more flexibility and cost control.

Think of HSAs like giving your employees a healthcare gift card that they can use however they want — from massages and therapy at a Dartmouth wellness clinic to new glasses from a Halifax optometrist, there are no restrictions.

The way HSAs work is similar to any savings account. You (the business owner) set a yearly allowance, say $1,500 per employee. Employees can then spend their allotted allowances on eligible medical expenses up to that dollar amount.

HSAs have been gaining a lot of popularity recently as they offer a more simplistic, affordable, and tax-advantageous way for small to medium-sized businesses to provide employees with flexible health benefits.

The Benefits & Drawbacks of Each Plan?

Group benefits and HSAs come with their own set of pros and cons.

Pros: Group Benefits Plan

Offer much broader coverage, including life insurance, disability insurance, etc.
The beefier the benefits plan, the more appealing it is for employees, which helps employers with talent acquisition, improved retention rates, and greater loyalty.
Premiums are fixed for the year, which makes budgeting predictable and easier for employers.
Benefits are received tax-free for employees, and contributions made are tax-deductible for the business.

Cons: Group Benefits Plan

Tend to be more expensive than HSAs, as traditional group benefits usually offer added coverage such as life insurance and disability insurance.
Premium rates are revised annually, making predicting cost year-over-year challenging, especially for smaller businesses.
Less flexibility and customization options for employees as plans are generally predefined.
Come with age restrictions. Employees over 65 are usually not covered or have reduced coverage.
Plans can be complex with a lot of fine print that makes it difficult for most employees to fully understand the benefits they are entitled to.

Pros: HSAs

Funds can be used for a wide range of health-related expenses.
Offers inclusive coverage as it doesn’t restrict benefits based on age or pre-existing medical conditions.
Fixed contribution amounts make predicting costs a lot easier for employers.
Employers only pay for expenses incurred, thus avoiding paying for unused coverage, which is often the case with group benefits.
Benefits are received tax-free for employees, and contributions made are tax-deductible for the business.
Straightforward, flexible, and highly customizable.

Cons: HSAs

Does not offer any type of insurance to cover unexpected and large medical expenses.
Not as appealing to employees as group benefits.

What Does Each Plan Cost You as an Employer?

While it is true that traditional employer group benefit plans were a lot more complex and often too expensive for small businesses to consider, this is no longer the case.

There are plenty of insurance providers today that offer tailor-made group benefit plans for smaller-sized businesses that are competitively priced, offer extended health benefits, include no deductibles or lengthy medical forms, and are completely digitized, making them easy to navigate, set up, and manage.

As far as how much group benefits cost? That depends on many factors that are best discussed with a professional. Click here to book an appointment or request a free quote.

On the other hand, when it comes to HSAs, you call the shots. You set the budget and that’s it. That’s your total spend. No unpleasant premium hikes to worry about.

Which is Better for My Team?

That depends on the size of your business, your budget, and your employee needs.

Group Benefits can be ideal if you predominantly have employees with families, as comprehensive coverage can act as a huge incentive for them to stay long-term.

HSAs are ideal if you have a smaller business that hires younger employees who aren’t married or have children. Group benefits wouldn’t add much value to such a demographic, but having an allowance that allows them to choose how they want to spend their health dollars can be a lot more appealing.

Team size matters as well. So does budget.

Small local businesses often love HSAs as they are simple, affordable, and easy to manage and control. However, as your business grows, investing in a group benefits plan can almost become a necessity, especially if your competitors are already offering it to their employees.

What About a Hybrid Model?

If you are still undecided on which plan is best, you can opt for a plan that includes a combination of the two.

A hybrid model allows you to offer employees an HSA with insurance add-ons or group benefits with an HSA, often referred to as a Health Care Spending Account (HCSA).

Offering a hybrid model can have many advantages, as it can offer basic insurance coverage but also greater flexibility in terms of how employees can spend their health allowance.

This model is gaining traction as it offers a win-win solution for both employees and employers.

Give Your Team the Protection They Deserve!

Whether you are considering group benefits or HSAs for your business, consult with a trusted group insurance broker.

An insurance broker can help your business find a benefits plan that is the right fit for you and your employees.

At McIver Insurance Inc., we specialize in group benefit plans for small to medium-sized businesses in Nova Scotia. We’re local, experienced, friendly, and know what works for Nova Scotia businesses.

Book a call with us today to learn more!

FAQs

Q1) What’s the main difference between Group Benefits and HSAs?

Group Benefits offer comprehensive coverage, including insurance, whereas HSAs are simply a health allowance that employees can use on health services that matter most to them.

Q2) Are there tax advantages?

Both plans offer tax deductions for employers and tax-free reimbursements for employees.

Q3) What should small business owners consider?

They should consider the employee needs, budget, team size, competition, and future goals.

February 9 2024

Mental Health and Life Insurance Policies

Pat McIver Group Benefits, Health Insurance, Life Insurance Insurance Companies, Life Insurance Policy, Mental Health Life Insurance

Having a mental health condition calls for being weary of many things. But what you must keep in mind is the fact that mental health is not a destination but a journey.

Since 2001, the mental health and life insurance industries have been working together to develop adequate life insurance outcomes for people struggling with mental health disorders.

With that in mind, people with mental health conditions can also have their insurance coverage. However, every condition and country calls for its terms to make life insurance claims.

In Canada, the good news is that mental health conditions don’t slam the door on life insurance coverage, but the key to qualifying for a life insurance claim is honest disclosure of the severity of your conditions.

In this article, we’ll be going over something crucial but often overlooked — mental health and life insurance. So, without any further delay, let’s explore the different life insurance policies for people with mental health conditions.

Let’s get to it!

Do Mental Health Conditions Affect Life Insurance Coverage?

When you apply for life insurance coverage, your mental and physical health will be examined. So, as uncommon as it may sound, it is, in fact, totally normal, and the insurers are used to it.

You will be asked to fill out a questionnaire or submit a medical exam. Why, you may ask — it is because a series of factors like the severity of your mental health condition, how it impacts your income and lifestyle, ongoing symptoms, and other such stuff will determine whether you qualify for the life insurance policy or not and to what extent.

However, certain medical conditions like anxiety will not have as many premiums as severe conditions like schizophrenia will have and they will affect the kind of coverage you get in your life insurance policy.

Keep in mind that the terms and conditions offered will vary based on the country and company offering the insurance. This is why it’s important to get quotations from various resources before choosing one.

Lying About Your Condition On Your Insurance Application: The Flipside

Withholding information or lying on your life insurance application is a NO-GO, and can lead to major consequences.

Once you claim your condition, that information will be legally assessed. If found inaccurate or untrue, it can lead to consequences like the insurer cancelling your policy or refusing to pay your claim without refunding any of the premiums you’ve paid.

Hence, you do not lie regarding anything on your insurance application. To get the best out of it, you must keep it real.

Remember, “Disclosing your mental health shouldn’t be a barrier to getting the life insurance coverage you need. We believe Canadians with mental illness deserve fair access to life insurance products.” – The Canadian Life and Health Insurance Association

What Mental Conditions Are Considered By Life Insurance Companies?

Every individual is worthy of a life filled with fulfilment, and the same goes for individuals struggling with mental health conditions. Almost all the insurance companies are stepping up and considering people struggling with mental illnesses. Some of the most common conditions considered by these companies are:

Anxiety
Bipolar Disorders
Obsessive Compulsive Disorder
Eating Disorder
Schizophrenia
Psychosis
Attention Deficit Hyperactivity Disorder
Borderline Personality Disorder

These are not just names on the list anymore or something to be shrugged away. Insurance companies these days fully consider individuals struggling with these conditions and work to give as much as fair outcomes as they can.

Does Ongoing Medical Treatment Affect Life Insurance?

The role of ongoing mental health treatment and the impact of medications also play its role and increase the odds of securing a life insurance policy. For instance, if you’re seeing a mental health professional or are under treatment with medications, the insurers may increase your coverage, and it also increases your chance of getting favourable terms.

What Are The Different Life Insurance Options For Mental Health Conditions?

It is said that your mental health struggles do not define your future. With that in mind, you should know that you are rightful enough to secure a future for your family and yourself. There are different life insurance policies for people struggling with mental health conditions. Some are better than others, and their eligibility, budget, and period vary.

Term Life Insurance:

Term Life insurance is an insurance policy that lasts for a certain period, usually ranging from five to thirty years. This is especially suitable for younger people with less severe conditions than others.

Permanent Life Insurance:

The term is pretty self-explanatory and is your ride and die. Permanent life insurance is an insurance policy that lasts your entire life as long as you keep paying the premiums. However, it is more expensive than other insurance.

Guaranteed Life Insurance:

This is your guaranteed policy. It also requires no medical exam. However, it is the most expensive one out there.

Group Life Insurance:

This is the life insurance that is specifically for employees. If you are someone with mental health conditions and working in a company that offers insurance coverage, this policy is for you. It also requires no medical exam to qualify and lasts for as long as your association with the company.

Make Informed Decisions With McIver Insurance

Having a mental health condition does not exclude you from the normalcy of life. This is why the insurance sector is working to offer the best outcomes to every individual.

Having life insurance is a perfect shot at having peace of mind and a secure future and has many benefits. However, since the industry is ever-evolving, it is important to consult experts to ensure that you are not exploited.

At McIver Insurance Inc., we prioritise our customers first and are a renowned name in all of Halifax, for we believe that your future can be fearless if you secure your today.

With that in mind, waste no more time and give us a call at 1-902-220-3279 or email at pat@mciverinsurance.com to get life insurance policies tailored to your needs.

February 9 2024

Insurance Riders and Additional Coverages

Pat McIver Group Benefits, Life Insurance Insurance Companies, Life Insurance, Life Insurance Policy, McIver Insurance

Insurance policies offer a great deal of comfort to many people, as they offer a safety net for families in the event of any tragic event. However, insurance policies can cost a good deal of money and not all policies will offer full coverage.

Luckily, with time people have become a lot more aware of their needs and are proactive in their approach, and, with increasing competition, insurance providers looked to offer more options to customers.

This is where insurance riders come in, giving customers more control over the specific types of coverage they can have under their insurance policy. This comprehensive guide is to educate you on insurance riders, their benefits, and the different types of insurance riders you can choose from.

What Is A Life Insurance Rider?

In a nutshell, riders are additional benefits and coverages that can be purchased, to be added into the umbrella of your basic insurance coverage. By getting supplemental coverage through these riders, you stay even further protected from specific unfortunate events.

For example, in the event of your death, your insurance policy will offer a payout, but if you were to be a victim of a serious injury and were to be disabled as a result, there isn’t much your policy would do for you. If such an insurance policy had a disability rider attached to it, then you would see benefits that could help you with treatment costs and maintenance.

Traditionally, those looking for extra coverage would have to invest in multiple policies, but with insurance riders, you can customize your policy to the point where you have as much coverage as would make you comfortable, and not worry about investing in another policy.

Benefits Of Insurance Riders

Better Coverage

A life insurance policy will only offer benefits in the event of death, but it’s possible that the death was caused by an event that resulted in prolonged hospital stays and treatments.

Your life insurance won’t offer coverage specifically for that and, if you choose to pay your hospital bills using the benefits from the life insurance policy, then you’re left with less money that your family can use to maintain their quality of life and meet expenses.

Riders offer coverage for such matters and you could even ensure you have coverage for your hospital bills, any treatments, and even if you don’t die and are afflicted with a disability.

Peace Of Mind

Riders can offer you and your family a lot of peace of mind as well. Death isn’t the only situation where a family might need financial support for the coming years.

Disability, terminal illness, and serious injuries can also require the same financial security, not just for the family’s sustenance, but also for the hospital bills resulting from such disability, illness, or injury. With insurance riders, you find just that!

More Than Just Payouts

A basic life insurance policy will give you a payout in the event of death, but with riders, you can get additional benefits. For example, with a child education rider, the insurance policy would give a payout for the death of the insured AND further coverage for your child’s education costs.

Types of Riders

While there are many different types of insurance riders, we’re going to go over some of the more popular ones, to give you an understanding of how they work and exactly what benefits can be offered.

Waiver of Premium

This is one of the most common insurance riders that people opt for in Canada. If you have this rider attached to your life insurance policy and you are a victim of an injury and subsequent disability, then your insurer will waive your premium payments, while still keeping the insurance policy intact.

This means you won’t be paying for any premiums but your family will still receive benefits from the insurance policy in the event of your death. The waiver will also apply to any other riders you may have purchased and you won’t be required to make any payments for coverage under those riders.

However, one thing to keep in mind is that every rider policy will have a different definition of “disability”, so thoroughly read your policy to make sure you’re properly covered.

Accelerated Death Benefit

This rider pays out a portion of your death benefit in the event of a terminal illness. In most policies, you’ll be entitled to withdraw up to 50% of your death benefit, or $250,000, whichever is less.

Also, you should know that there aren’t any conditions as to where you can spend the money that you withdraw as your insurance provider will not normally ask for receipts or proof of expenditure. You can use this amount to cover hospital bills or any other expenses, but keep in mind that whatever amount you withdraw will be that much less money that your family will receive in the event of your death.

As with the premium waiver rider, make sure what your policy defines as a “terminal illness” to ensure you have the proper coverage.

Hospitalization Income

This insurance rider offers a fixed income for each day that you’re in the hospital, which can help out with a lot of expenses around the house, fuel costs of the family running to the hospital and back, or with babysitters for the kids while you and your spouse are at the hospital.

There will be a cap on the total amount that is paid and the number of days in the hospital, so be sure to read the policy in detail to make sure.

Which Insurance Rider? Talk To An Expert!

The type of rider you get depends entirely on your needs and circumstances. However, it is highly recommended to speak to an expert before selecting a rider on your policy.

Insurance experts such as those at McIver Insurance, can guide you on what insurance riders (if any) would be best suited to your needs and the impact each rider can have on your overall coverage and policy.

January 26 2024

What Are 5 Examples Of Employee Benefits?

Pat McIver Group Benefits Group Benefits, Insurance Companies, McIver Insurance

Let’s face it, most of the time, people are looking for jobs, either, because they don’t have one, or are searching for one that offers higher pay.

However, for many Canadian job seekers, higher pay isn’t always the most attractive incentive for choosing one company over another. Employee benefits can in many ways outweigh a bump in salary or rate per hour.

In this article, we will look at five employee benefits that can on many occasions be more appealing than a pay increase.

5 Examples Of Additional Benefits For Employees In Canada

All Canadian employers are legally entitled to offer their employees benefits such as contributing to the Canada Pension Plan (CPP), job-protected and paid legislated and parental leaves, Paid Time Off (PTO), Employment Insurance (EI), and eye exams and vision care.

However, there are many supplementary benefits that an employer can offer to help sweeten the pot. Benefits such as medical and dental coverage, life insurance, an additional tax-free retirement saving plan, extended health care, child care, educational benefits, and more can all help entice the best candidates possible to fill a job position.

Offering these employee benefits can also help an employer improve retention rates, and create a happier and more productive working environment for their employees.

So, let’s take a look at these benefits in more detail and see whether they would be a viable fit for your business.

Medical & Dental Coverage

Offering an extended health coverage plan has become increasingly popular amongst employers. Canada’s government health care program doesn’t cover medical expenses including prescription drugs, hospitalization costs, ambulance services, and dental coverage.

This is the main reason why more than 90% of Canadian employers offer an extended private group health plan to employees. An extended health coverage plan covers medical expenses not included in Canada’s provincial health plan. These plans can also include partial or full dental coverage making them hugely appealing.

Life Insurance

What’s the most important thing that is common for almost all employees? Their families, of course! This is why many Canadian employers offer a life insurance plan to employees as the continued financial security of their family is always going to be a top priority.

By contributing to a life insurance plan employers help safeguard the future of employee families offering them further peace of mind.

Apart from life insurance, some Canadian employers also offer disability insurance and other mental health benefits. These added perks can go a long way in attracting the best talent, especially, for dangerous and highly stressful jobs.

Employee Stipends For Fringe Benefits

Instead of offering a wide range of benefits that can be overly complicated for employees to understand and seldom used, many employers now prefer to offer employee stipends instead.

This form of benefit offers an employee a monthly allowance that can be used to cover health, wellness, and lifestyle expenses such as gym memberships, spa/massage therapy sessions, and tuition fees for various skill-enhancing courses.

Stipends are a great way to offer flexibility in your benefits package as employees have free reign over how they want to spend that money. An example of a stipend could be a Health Care Spending Account (HCSA) which allows employees to spend tax-free money on medical expenses.

For employers that have a diverse workforce demographic, offering a stipend instead of a traditional benefits package can be an excellent way to accommodate the varying needs of all their employees.

Childcare

If you have a workforce that predominantly consists of parents, adding a childcare plan to your existing benefits package can be hugely appealing to your current and future pool of employees.

Childcare in Canada can be quite expensive, so an employer that offers childcare can be a highly attractive incentive, especially for young parents.

Registered Retirement Saving Plans (RRSPs)

While Canadian employers and employees are both legally obligated to pay 5.25% of their salary to the Canada Pension Plan (CPP), or the Quebec Pension Plan (QPP), many employers offer additional retirement saving plans to attract highly skilled employees.

The RRSP is the most popular of these employer-sponsored retirement contributions. An RRSP is a tax-free retirement saving account where employees can save up to a maximum of CAD $27,830 annually.

Any RRSP contribution an employee makes is often matched 100% by the employer. This can make this a hugely attractive and lucrative benefit for highly paid and highly skilled talent.

Different Ways To Structure A Benefits Plan

Now that you have a fair idea of the additional benefits that could prove attractive for your workforce, it is time to choose a structure that compiles these benefits into a comprehensive benefits package that will help attract and retain top talent.

There are essentially two types of structures that can be used; an organization-oriented benefits structure, and/or a consumer-oriented benefits structure.

In an organizational-oriented benefits plan, employees are offered a select list of employer-defined benefits. The employee then has a choice of whether to opt for the plan or not. Examples of such a structure include traditional group health insurance plans, retirement plans such as 401(k), and employer-chosen wellness programs.

In a consumer-oriented benefits structure, the employees have free reign over what benefits they would like to spend on. Employers offer a stipend or monthly allowance and employees are free to use that money on whatever benefits they see fit. Examples of consumer-oriented benefits include HSAs as discussed earlier, as well as medical reimbursement plans such as a Health Reimbursement Arrangement (HRA).

Choosing A Group Benefits Plan That Works For Your Firm!

Whether you are a large business or a startup, having the right benefits plan in place can make all the difference when it comes to attracting the best talent.

This is why it is highly recommended that you speak to a reputed employee benefits brokerage company, such as McIver Insurance, that specializes in creating group benefit plans that meet the demands and needs of your employees without burdening business finances.

To learn more, give us a call at 1-902-220-3279.

March 29 2023

What perks can I give my employees?

Pat McIver Group Benefits Group Benefits, McIver Insurance

Being the owner of a start-up or small business can bring with it a multitude of challenges. No matter how sound your business plan may be, there are always unforeseen obstacles that can stand in the way of success. One such obstacle, faced by many Canadian business owners, is the issue of attracting and retaining key employees.

The number of vacant job positions in Canada has never been higher with nearly 1 million vacancies in May of 2022 alone. This lack of labour supply has made it essential for employers to do whatever it takes to attract and retain the best talent to gain a competitive edge in the market.

After the Covid-19 pandemic, the labour market has also changed drastically. Today, employees value health and wellness, work/life balance, and less workload stress more than ever before. As such, most corporations, companies, and businesses have found the addition of perks and employee benefits to be amongst the most valuable and successful ways of attracting and retaining talent within the organization.

So, if you are a business owner, struggling to attract new applicants, or retain existing staff members, offering a comprehensive benefits package to your employees can help resolve these issues. To learn more about what a comprehensive benefits package is and how it can help? Read on!

The Most Common Types Of Perks You Can Offer Your Employees

According to Canadian labour laws, employers have to provide their employees with certain mandatory/statutory benefits. These benefits include pension plan contributions, legislated and parental leaves, Paid Time Off (PTO), Employment Insurance (EI), and bi-annual eye exams.

However, many companies go well over these mandatory benefits and provide a range of supplementary benefits or perks that focus on covering health and wellness expenses, saving for retirement, and funding for personal growth. These added perks are a great way to increase employees’ overall satisfaction, loyalty, and productivity, as well as, care for their mental and physical health needs.

Health Insurance

Health insurance is offered by approx. 90% of all businesses in Canada according to a Humi survey and is one of the most common types of added perks that can make a benefits package that much more attractive.

Health insurance covers all medical expenses that are not covered by your provincial health plan. This includes emergency room costs, prescription drugs, and doctor visits.

Disability Insurance

While health insurance is a common perk, disability insurance is something that is only offered by fewer than 50% of Canadian businesses according to a Newswire report. By adding a disability insurance plan to your current benefits package employees can feel a lot safer about their and their families future making them a lot less likely to leave.

Disability insurance can be added to an existing group benefits plan and can become one of the most valuable perks of any employee benefits package.

Dental & Vision Care

Many Canadian employers also offer dental and vision coverage as an added perk. As we all know, dental and vision care costs in Canada can be incredibly high. Having this coverage is a highly attractive perk that is certain to attract the best talent to your organization.

Dental and vision care plans are affordable and can be easily tacked on to any existing benefits plan to provide your employees with something that the rest of your competition may not be offering.

Life Insurance

Life insurance is just as meaningful to employees as disability insurance. A company that offers a life insurance policy in its benefits plan is a company most employees would want to stick with!

A life insurance policy helps protect your loved ones financially in case of your untimely demise. A company that offers to contribute to a life insurance policy or pays for it outright as an added perk can be a hugely attractive incentive for all employees.

Child Care

Even though child care is provided by the Canadian government, it doesn’t cover all of your children’s expenses. This is why some companies that have a majority family-oriented staff, offer added childcare benefits such as paying for daycare and extra PTO for parents.

Registered Retirement Saving Plan (RRSP)

In a recent survey by Nest Wealth, it was found that nearly 70% of employed Canadians agreed that they would leave a company that doesn’t offer a retirement saving plan for one that does. Companies that offer Group RRSP plans have happier, less stressed, and more loyal employees.

Working From Home & Flexible Schedules

The dynamic of the labour industry has changed dramatically after the pandemic. Today, more and more companies allow employees flexible work schedules and work-from-home days which wasn’t as common pre-pandemic. Offering flexible working schedules and remote working opportunities can be a great perk for workers seeking a better work/life balance.

Family Leaves & Paid Holidays

Amongst the most requested perks by employees in today’s job market are paid maternal and paternal leaves. Companies that offer this perk are amongst the ones that tend to attract the top talent. Some companies go as far as offering paid family leaves to allow employees to spend additional time with their families to maintain better work/life balance.

Student Loan Repayment Plans & Tuition Grants

In the pursuit to attract and retain the best talent, many companies offer employees tuition grants for courses, certifications, and degrees that can help improve their skills, knowledge, and expertise in their field of work.

For companies that tend to hire a lot of recent graduates, offering a student loan repayment plan that helps pay off a portion of the employee’s student loan can be an excellent perk to attract the best fresh talent available in the market.

Setting Up A Group Benefits Plan To Give Your Employees The Protection They Deserve!

The best way to attract and retain the best talent is to provide them with a benefits package that is good to pass. However, getting the right benefits package that not only meets your employees’ needs but also the businesses’ budgets is easier said than done.

That is why many small and medium Canadian business owners rely on McIver Insurance to provide their employees with the most comprehensive benefits package possible, that is market competitive and meets budget requirements.

To learn more or get a free quote call now at +1-902-220-3279.

March 13 2023

What Are 5 Examples Of Employee Benefits?

Pat McIver Group Benefits

Let’s face it, most of the time, people are looking for jobs, either, because they don’t have one, or are searching for one that offers higher pay.

In this article, we will look at five employee benefits that can on many occasions be more appealing than a pay increase.

5 Examples Of Additional Benefits For Employees In Canada

Offering these employee benefits can also help an employer improve retention rates, and create a happier and more productive working environment for their employees.

So, let’s take a look at these benefits in more detail and see whether they would be a viable fit for your business.

Medical & Dental Coverage

Life Insurance

By contributing to a life insurance plan employers help safeguard the future of employee families offering them further peace of mind.

Employee Stipends For Fringe Benefits

Instead of offering a wide range of benefits that can be overly complicated for employees to understand and seldom used, many employers now prefer to offer employee stipends instead.

For employers that have a diverse workforce demographic, offering a stipend instead of a traditional benefits package can be an excellent way to accommodate the varying needs of all their employees.

Childcare

If you have a workforce that predominantly consists of parents, adding a childcare plan to your existing benefits package can be hugely appealing to your current and future pool of employees.

Childcare in Canada can be quite expensive, so an employer that offers childcare can be a highly attractive incentive, especially for young parents.

Registered Retirement Saving Plans (RRSPs)

The RRSP is the most popular of these employer-sponsored retirement contributions. An RRSP is a tax-free retirement saving account where employees can save up to a maximum of CAD $27,830 annually.

Any RRSP contribution an employee makes is often matched 100% by the employer. This can make this a hugely attractive and lucrative benefit for highly paid and highly skilled talent.

Different Ways To Structure A Benefits Plan

There are essentially two types of structures that can be used; an organization-oriented benefits structure, and/or a consumer-oriented benefits structure.

Choosing A Group Benefits Plan That Works For Your Firm!

Whether you are a large business or a startup, having the right benefits plan in place can make all the difference when it comes to attracting the best talent.

To learn more, give us a call at 1-902-220-3279.