Renewing Your Group Benefits Plan

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When it’s time to renew your organization’s group benefits plan, it’s a chance to step back, take a close look, and ensure everything still makes sense for your team and budget. Each year, your provider will review past claims and usage to help adjust coverage and premiums, so the plan remains relevant. Here’s how to get the most out of this process.

Reviewing Your Benefits: Focus on What Matters

Take time to examine each part of your benefits package to see if it still meets the needs of your team:

  • Health Coverage: Look at what’s covered for prescription drugs, hospital care, and specialist visits. Are the current limits in line with what your team uses most?
  • Dental Coverage: From cleanings to crowns, check that the plan covers routine and advanced dental needs. If usage is low, maybe it’s time for an update.
  • Disability and Life Insurance: Disability insurance protects income during tough times, while life insurance gives peace of mind. Make sure coverage levels are right for your team.
  • Critical Illness and Accident Insurance: These benefits can provide extra financial support for serious illnesses or accidents, with options for additional coverage if it’s a priority for employees.

Specialty Benefits That Add Flexibility

Consider adding options that give employees more control over their benefits:

  • Health Care Spending Accounts (HCSAs): With HCSAs, employees have a set allowance to cover eligible health expenses. This flexibility lets employees pick and choose the coverage that fits their needs.
  • Emergency Medical Coverage: This can be particularly valuable for employees who travel frequently, covering unexpected medical costs on the road.
  • Retiree and Self-Employed Benefits: If you offer benefits for retirees or contractors, make sure these plans focus on the essentials, like prescriptions, dental, and vision, to keep things simple and effective.

Checking Value and Staying on Budget

Once you know what you’re covering, see if it aligns with what your team values most and if it’s worth the premium cost:

  • Utilization Analysis: Look at which benefits are most used. If something like dental care isn’t being used much, that could mean there’s room to adjust.
  • Employee Feedback: Ask employees directly what benefits do they find most valuable? This feedback can guide your decisions.

Making the Right Adjustments

When you have the full picture, it’s time to consider if adjustments would make the plan stronger or more efficient:

  • Benefit Modifications: Maybe it’s time to add a health spending account, adjust critical illness coverage, or tweak other benefits to better reflect what employees want.
  • Cost-Sharing Adjustments: Evaluate how the premium costs are split. Adjusting the cost share may help keep the plan sustainable for everyone.

With the right approach to your group benefits renewal, you can keep your plan valuable, easy to understand, and tailored to what your team needs most. This way, you’re not just offering a benefits package—you’re providing a solution that works.

Exploring the Value of Group Benefit Plans for Your Employees

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In today’s ever-evolving workplace landscape, employees place a premium on several key factors:

1. Alignment with employer values, especially sustainability.

2. Achieving a harmonious work-life balance.

3. Assistance in coping with the rising cost of living expenses.

4. Opportunities for delayed retirement.

5. Cultivating a sense of belonging within the workplace.

6. Flexibility in terms of work hours and location.

7. Ensuring job security.

If your business is experiencing growth and you’re considering adding group benefit plans to your employee offerings, you’re in the right place. We understand the importance of providing the right employee benefits solution for your business.

Understanding Group Benefit Plans and Their Value

Group benefit plans form a crucial part of a company’s total compensation package, available to employees regardless of their seniority, position, or qualifications. These plans often encompass medical coverage for employees and their dependents. While it may seem like an additional expense during a period of growth, offering employee insurance benefits is essential for the long-term sustainability of your business.

So, why should your company consider offering group insurance benefits? Here are some compelling reasons:

1. Convenience: Group insurance benefits simplify healthcare coverage for your employees and their families.

2. Workforce Protection: These benefits provide a safety net for your staff, promoting their well-being.

3. Staff Retention: Offering benefits can help you retain valuable employees, reducing turnover.

4. Tax Benefits: Group insurance plans offer tax advantages for both employers and employees.

5. Customization: Plans can be tailored to meet your business’s unique needs.

6. Morale Boost: Providing benefits can boost productivity and morale among your workforce.

What’s Covered by Group Insurance Plans?

Group insurance plans typically cover medical-related expenses that provincial healthcare plans might not fully address. This coverage can include paramedical and ambulance services, dental care, eye care, hospital stays, and certain prescription drugs. Additionally, you have the option to combine group benefits plans with retirement and savings plans.

Types of Group Benefits Plans

Various types of group benefits plans are available, each catering to different company needs and preferences. The most popular options include:

1. Fully-Insured

2. Self-Funded

3. Level-Funded

No matter the size of your business, there’s a group insurance benefit plan that suits your needs. We offer flexible and innovative plans that anticipate your requirements. Our services aim to reduce your administrative workload, allowing you to focus on critical aspects of your business.

Is Group Insurance Cost-Effective?

One of the financial advantages of group insurance is lower premiums while maintaining coverage equivalent to individual health insurance. Typically, employers cover most of the group benefit plan costs, with employees contributing a small percentage of their salary towards the monthly premium. If you’re concerned about the tax implications of providing benefits at work, it’s advisable to with us for specific details.

In conclusion, offering group benefit plans is a strategic move to attract and retain top talent while promoting employee well-being and financial security. Whether you have a small or large business, we are here to assist you in finding the right plan that aligns with your organization’s needs and objectives.

Protecting Key Talent using Group Benefits

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Building a Sustainable Future Together

As a group benefits specialist, our main objective is to foster a sustainable future by working in partnership with our clients. We believe that a knowledgeable and engaged workforce is essential for any organization’s success. One of the crucial aspects of achieving this goal is protecting key talent within your company. In this article, we will explore how group benefits can play a significant role in safeguarding your organization’s most valuable asset: its people.

The Value of Key Talent

Key talent refers to those employees who possess critical skills, expertise, and knowledge that drive your company’s growth and success. They are the backbone of your organization, ensuring it thrives in today’s competitive landscape. Retaining these valuable individuals is vital as their loss can have a significant impact on your business operations, productivity, and overall morale.

Challenges in Retaining Key Talent

In today’s dynamic job market, retaining key talent can be challenging. Many factors come into play, such as attractive offers from competitors, personal growth opportunities, work-life balance, and employee well-being. As an employer, understanding and addressing these challenges are essential to protect your top performers and maintain a competitive edge.

The Role of Group Benefits

Group benefits can be a powerful tool in attracting and retaining key talent. By offering comprehensive and customized benefits packages, you demonstrate your commitment to your employees’ well-being, security, and future. Here are some key aspects of group benefits that contribute to protecting your key talent:

1. Health and Wellness Coverage

Providing robust health and wellness benefits, including medical, dental, and vision coverage, not only promotes a healthy workforce but also demonstrates your dedication to their overall well-being. When employees feel supported in their health, they are more likely to remain loyal to your organization.

2. Income Protection

Group benefits often include disability insurance, which provides financial protection for employees who might experience an injury or illness that prevents them from working. This security helps ease financial worries during challenging times and creates a sense of stability, encouraging key talent to stay with your company for the long term.

3. Retirement Planning

A well-designed retirement plan is an attractive feature for key talent. It shows that you care about their future and are committed to helping them achieve financial security during their retirement years. Contributing to a retirement plan also reinforces a collaborative and client-focused relationship with your employees.

4. Work-Life Balance Support

Offering benefits that support work-life balance, such as flexible work arrangements, paid time off, and family leave, shows your understanding of the importance of a balanced life. Employees who feel they have the flexibility to manage their personal and professional responsibilities are more likely to stay committed to your organization.

5. Career Development

Group benefits can extend beyond traditional offerings. Consider including professional development and training opportunities within your benefits package. Investing in your employees’ growth not only enhances their skills but also reinforces your commitment to their long-term success.

Educational Approach and Collaboration

Our mission as group benefits specialists is to provide educational and collaborative support to our clients. By engaging in open discussions about your organization’s needs and goals, we can tailor group benefits packages that align with your unique requirements. Together, we can build a sustainable future by nurturing and protecting your key talent.

Protecting key talent using group benefits is not just a sound business strategy; it reflects a client-focused, educational, and collaborative approach to employee welfare. As a group benefits specialist, we are committed to working hand-in-hand with our clients to create comprehensive and customized solutions that safeguard their organization’s most valuable asset – their people. By investing in the well-being, security, and future of your employees, you are not only enhancing loyalty and retention but also building a stronger and more sustainable future for your company. Let’s continue to partner together to ensure a prosperous and thriving workforce.

Group Retirement Benefits

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Working at an organization that offers a pension plan is one of the greatest financial advantages a Canadian can enjoy. Pension plans are designed to provide retirement income and help employees reach their retirement goals and for business owners- help retain key employees.

Pension plans can offer:

  • Employer contributions

  • Forced retirement savings for employee

There are 2 main types of pension plan:

  • Defined Benefit Plan

  • Defined Contribution Plan

Defined Benefit Plan

  • Retirement income is guaranteed, contributions are not.

  • The pension amount is based on a formula that includes the employee’s earnings and years of service with the employer

  • Usually, contributions are made by the employee and employer

  • The employer is responsible for investing the contributions to ensure there’s enough money to pay the future pensions for all plan members.

  • If there’s a shortfall, the employer pays the difference.

Defined Contribution Plan

  • Contributions are guaranteed, retirement income is not.

  • Usually, contributions are made by the employee and employer.

  • The employee is responsible for investing all contributions.

  • The amount available in retirement depends on how the investment performs including total contributions.

  • At retirement, the money in the account can be used to generate retirement income through purchasing an annuity or transferring the amount to a locked-in retirement income fund.

In summary, a defined benefits plan guarantees you a retirement income and a defined contribution plan guarantees contributions but not retirement income.

Talk to us, we can help.

Insurance Planning for Incorporated Professionals

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For incorporated professionals, making sure your practice is financially protected can be overwhelming. Incorporated professionals face a unique set of challenges when it comes to managing risk. Insurance can play an important role when it comes to reducing the financial impact on your practice in the case of uncontrollable events such as disability, or critical illness. This infographic and article address the importance of corporate insurance.

The 4 areas of insurance a incorporated professional should take care of are: 

  • Health 

  • Disability 

  • Critical Illness 

  • Life

Health: We are fortunate in Canada, where the healthcare system pays for basic healthcare services for Canadian citizens and permanent residents. However, not everything healthcare related is covered, in reality, 30% of our health costs* are paid for out of pocket or through private insurance such as prescription medication, dental, prescription glasses, physiotherapy, etc.

For incorporated professionals, offering employee health benefits make smart business sense because health benefits can form part of a compensation package and can help retain key employees and attract new talent.

For incorporated professionals that are looking to provide alternative health plans in a cost effective manner, you may want to consider a health spending account.

Disability: Most people spend money on protecting their home and car, but many overlook protecting their greatest asset: their ability to earn income. Unfortunately one in three people on average will be disabled for 90 days or more at least once before the age of 65.

Consider the financial impact this would have on your practice if you or a key employee were to suffer from an injury or illness. Disability insurance can provide a monthly income to help keep your practice running.

Business overhead expense insurance can provide monthly reimbursement of expenses during total disability such as rent for commercial space, utilities, employee salaries and benefits, equipment leasing costs, accounting fees, insurance premiums for property and liability, etc.

Key person disability insurance can be used to provide monthly funds for you or key employee while they’re disabled and protect the business from lost revenue while your business finds and trains an appropriate replacement.

Critical Illness: For a lot of us, the idea of experiencing a critical illness such as a heart attack, stroke or cancer can seem unlikely, but almost 3 in 4 (73%) working Canadians know someone who experience a serious illness. Sadly, this can have serious consequences on you, your family and business, with Critical Illness insurance, it provides a lump sum payment so you can focus on your recovery.

Key person critical illness insurance can be used to provide funds to the practice so it can supplement income during time away, cover debt repayment, salary for key employees or fixed overhead expenses.

Buy sell critical illness insurance can provide you with a lump sum payment if your business partner or shareholder were to suffer from a critical illness. These funds can be used to purchase the shares of the partner, fund a buy sell agreement and reassure creditors and suppliers.

Life: For an incorporated professional, not only do your employees depend on you for financial support but your loved ones do too. Life insurance is important because it can protect your practice and also be another form of investment for excess funds.

Key person life insurance can be used to provide a lump sum payment to the practice on death of the insured so it can keep the business going until you an appropriate replacement is found. It can also be used to retain loyal employees by supplying a retirement fund inside the insurance policy.

Loan coverage life insurance can help cover off any outstanding business loans and debts.

Reduce taxes & diversify your portfolio, often life insurance is viewed only as protection, however with permanent life insurance, there is an option to deposit excess funds not needed for operations to provide for tax-free growth (within government limits) to diversify your portfolio and reduce taxes on passive investments.  

Talk to us to make sure you and your practice are protected.

Contact Us

Group Insurance vs Individual Life Insurance

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Group Insurance vs Individual Life Insurance

“I already have life insurance from work, so why do I need to get it personally?” or “Work has got me covered, I don’t need it.”

While it’s great to have group coverage from your employer or association, in most cases, people don’t understand that there are important differences when it comes to group life insurance vs. self owned life insurance.

Before counting on insurance from your group benefits plan, please take the time to understand the difference between group owned life insurance and personally owned life insurance. The key differences are ownership, premium, coverage, beneficiary and portability.

Ownership:

  • Self: You own and control the policy.

  • Group: The group owns and controls the policy.

Premium:

  • Self: Your premiums are guaranteed at policy issue and discounts are available based on your health.

  • Group: Premiums are not guaranteed and there are no discounts available based on your health. The rates provided are blended depending on your group.

Coverage:

  • Self: You choose based on your needs.

  • Group: In a group plan, the coverage is typically a multiple of your salary. If your coverage is through an association, then it’s usually a flat basic amount.

Beneficiary:

  • Self: You choose who your beneficiary is and they can choose how they want to use the insurance benefit.

  • Group: You choose who your beneficiary is and they can choose how they want to use the insurance benefit.

Portability:

  • Self: Your policy stays with you.

  • Group: Your policy is tied to your group and if you leave your employer or your association, you may need to reapply for insurance.

Talk to us, we can help you figure out what’s best for your situation.

Contact US

Insurance Planning for Business Owners

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For business owners, making sure your business is financially protected can be overwhelming. Business owners face a unique set of challenges when it comes to managing risk. Insurance can play an important role when it comes to reducing the financial impact on your business in the case of uncontrollable events such as disability, critical illness or loss of a key shareholder or employee.

This infographic addresses the importance of corporate insurance.

The 4 areas of  insurance a business owner should take care of are:

  • Health

  • Disability

  • Critical Illness

  • Life

Health: We are fortunate in Canada, where the healthcare system pays for basic healthcare services for Canadian citizens and permanent residents. However, not everything healthcare related is covered, in reality, 30% of our health costs* are paid for out of pocket or through private insurance such as prescription medication, dental, prescription glasses, physiotherapy, etc.

For business owners, offering employee health benefits make smart business sense because health benefits can form part of a compensation package and can help retain key employees and attract new talent.

For business owners that are looking to provide alternative health plans in a cost effective manner, you may want to consider a health spending account.

Disability: Most people spend money on protecting their home and car, but many overlook protecting their greatest asset: their ability to earn income. Unfortunately one in three people on average will be disabled for 90 days or more at least once before the age of 65.

Consider the financial impact this would have on your business if you, a key employee or shareholder were to suffer from an injury or illness. Disability insurance can provide a monthly income to help keep your business running.

Business overhead expense insurance can provide monthly reimbursement of expenses during total disability such as rent for commercial space, utilities, employee salaries and benefits, equipment leasing costs, accounting fees, insurance premiums for property and liability, etc.

Key person disability insurance can be used to provide monthly funds for the key employee while they’re disabled and protect the business from lost revenue while your business finds and trains an appropriate replacement.

Buy sell disability insurance can provide you with a lump sum payment if your business partner were to become totally disabled. These funds can be used to purchase the shares of the disabled partner, fund a buy sell agreement and reassure creditors and suppliers.

Critical Illness: For a lot of us, the idea of experiencing a critical illness such as a heart attack, stroke or cancer can seem unlikely, but almost 3 in 4 (73%) working Canadians know someone who experience a serious illness. Sadly, this can have serious consequences on you, your family and business, with Critical Illness insurance, it provides a lump sum payment so you can focus on your recovery.

Key person critical illness insurance can be used to provide funds to the company so it can supplement income during time away, cover debt repayment, salary for key employees or fixed overhead expenses.

Buy sell critical illness insurance can provide you with a lump sum payment if your business partner or shareholder were to suffer from a critical illness. These funds can be used to purchase the shares of the partner, fund a buy sell agreement and reassure creditors and suppliers.

Life: For a business owner, not only do your employees depend on you for financial support but your loved ones do too. Life insurance is important because it can protect your business and also be another form of investment for excess company funds.

Key person life insurance can be used to provide a lump sum payment to the company on death of the insured so it can keep the business going until you an appropriate replacement is found. It can also be used to retain loyal employees by supplying a retirement fund inside the insurance policy.

Buy sell life insurance can provide you with a lump sum payment if your business partner or shareholder were to pass away. These funds can be used to purchase the shares of the deceased partner, fund a buy sell agreement and reassure creditors and suppliers.

Loan coverage life insurance can help cover off any outstanding business loans and debts.

Reduce taxes & diversify your portfolio, often life insurance is viewed only as protection, however with permanent life insurance, there is an option to deposit excess company funds not needed for operations to provide for tax-free growth (within government limits)  to diversify your portfolio and reduce taxes on passive investments.

Talk to us about helping making sure you and your business are protected.

Contact Us