Insurable Interest Canadian Insurance Blog

Advisors are spending less time meeting with clients face to face, but advisors also are helping clients with COVID-19 concerns, according to a National Association of Insurance and Financial Advisors survey. More than 1,000 advisors responded to the 2020 NAIFA Experience Survey. Advisors said that in light of COVID-19 health concerns and restrictions, face-to-face meetings have fallen off dramatically, with 84.1% they are meeting with clients in-person less frequently. Communications via telephone, email and video conferencing have increased significantly. Insurance and financial professionals have been an important source of information and reassurance during the pandemic. A majority of those surveyed have helped clients with questions and concerns about insurance coverage (63.3%), retirement planning (55.4%) and investments (56.1%). They have also heard from clients facing a loss of employment (46.9%) or reduced income (48.6%). Other issues agents and advisors have helped clients with include the federal Paycheck Protection Program, long-term care insurance and health insurance. The survey provides insights into respondents’ professional experience, client characteristics, products and services, compensation models, social media usage and group demographics. A series of survey questions also explored how the COVID-19 pandemic has affected these financial professionals and their interactions with clients. Advertisement Prior to March...

With a 4% growth rate for the year to date through the third quarter, life insurance application activity has “returned to pre-pandemic normal levels,” according to the MIB Life Index. The third quarter experienced the largest quarter-over-quarter gain since 2011 at 9.2%, MIB said, driven primarily by 12.8% growth in 0-44 age group and 9.2% growth in 45-59 age group. Following record growth in July and August, September experienced the largest year-over-year gain since 2011 at 4.4%, with activity from August to September relatively flat (up 0.4%). Growth patterns were consistent in Q3 as the under-44 age group continues to drive growth, MIB reported. In contrast, the over-60 age group has continued to show minor declines since the beginning of the COVID-19 pandemic, with the exception of a leap in July that transcended all age groups. September’s year-over-year application activity was up 7.2% for ages 0-44 and up 4.6% for ages 45-59, while ages 60+ was off -2.5%. Advertisement Read the original article at insurancenewsnet.com

Staff | October 9, 2020 A third (33 per cent) of employees said they’re more burned out on the job these days compared to 2019, according to a new survey by Robert Half Canada Inc. The staffing firm, which surveyed 500 Canadian employees this summer, found that, among this group, 40 per cent pointed to having a fuller plate at work as the top reason for rising levels of fatigue. Meanwhile, another 49 per cent of employees said they’re just as burned out now as they were 12 months ago, while 18 per cent reported a drop in burnout.  “Organizations continue to weather the financial impact of the pandemic and, in some cases, are doing so with leaner teams in place,” said David King, Canadian senior district president at Robert Half, in a press release. “This has resulted in an increased workload for employees, with many still working from home and balancing important job priorities with personal and family demands. With workers indicating they are experiencing rising levels of fatigue, managers need to work with their teams to address job burnout head on. This means helping them to not only prioritize their workloads, but also their well-being.” Read: Pandemic blurring work-life lines a recipe for employee burnout...

Staff  | October 9, 2020 The Alberta Investment Management Corp. is hiring Amit Prakash as its first chief investment strategy officer. “The CISO will specifically focus on ensuring that AIMCo’s investment offerings and platform are in close alignment with the evolving needs of our clients and the changing macro environment,” said the organization in a social media post. Prakash, who joined the AIMCo on Oct. 1, came from BMO Global Asset Management where he held various roles including managing director for multi-asset solutions in Canada and managing director for global exchange-traded funds and alternative investments. Read: Mark Wiseman appointed board chair of AIMCo He was also responsible for establishing and leading the firm’s Asia business. Previously, he worked at BlackRock and Barclays Global Investors. In other personnel news, Fairwater Capital Corp. is appointing Janet Rabovsky as chief investment officer. With 30 years in the investment industry, previous roles include partner at Ellement Consulting Group, director at Willis Towers Watson, director of investments at BMO Mutual Funds Inc. and manager of international equities at Victorian Funds Management Corp. Read the full article at BenefitsCanada.com

Staff | October 9, 2020 A third (33 per cent) of institutional investors that haven’t yet incorporated environmental, social and governance factors into their investment decisions said they’re considering it, according to a new survey by investment consulting firm Callan.  The annual survey, which polled 102 U.S. institutional investors this summer, found the percentage is the highest rate of ESG interest in the survey’s history and nearly three times the result from 2019. “We believe the move toward more ESG incorporation is consistent with the long-term investment approach of institutional investors,” said Tom Shingler, senior vice-president and chair of Callan’s ESG committee, in a press release. Read: Most Canadian institutional investors engaging in ESG issues: survey Indeed, 42 per cent of institutional investors said they already incorporate ESG factors into investment decisions, which mirrors the 2019 survey result but is nearly double the finding of 22 per cent from Callan’s first survey in 2013. Meanwhile, public plans have incorporated ESG factors into investment decisions at a slightly higher rate (36 per cent) than their corporate counterparts (32 per cent). For all investors, endowments remained the top ESG incorporator, with those surveyed increasing their adoption rate to 63 per cent in 2020, compared to 58 per cent in 2019....

PolicyMe, an online life insurance platform and advisor, has released a new survey suggesting that Canadians are being sold the wrong life insurance coverage. In an online poll of roughly 1,000 Canadians with life insurance, PolicyMe said 49% of Canadians that bought their policy through an advisor got a permanent policy. The results varied across age groups, with 40% of advised policyowners aged 18 to 34, 41% of those aged 35 to 54, and 62% of those aged 55 and above having a permanent policy. When asked whether they’re sure they made a good decision, 86% of policyowners with permanent life coverage expressed confidence that they had the right fit. But according to the co-founder and CEO of PolicyMe, there’s reason to question that confidence. “There’s an elephant in the room when it comes to life insurance,” says Andrew Ostro, Co-Founder & CEO of PolicyMe. “Many Canadians seem to believe they need permanent coverage, but the reality is that permanent life insurance is a very specialized product that only meets the needs of a very small percentage of the population — most people are sufficiently covered with the more flexible and affordable term life insurance.” PolicyMe cited a handful of...

Missing even a single paycheck can put a major dent in many families’ finances, and combining this with medical bills can be a double whammy. If you’ve suffered a disabling injury and are wondering when to file for long term disability insurance benefits, you’re not alone. Many disability insurance claimants may worry about either filing too soon or waiting…

Staff  | October 8, 2020 Morneau Shepell Ltd. is expanding into the growing telemedicine market to provide Canadian benefits plan members and their families with more convenient access to digital health-care services. Through its LifeWorks’ business, the company is launching a unified telemedicine service that will provide Canadians with quick access to medical practitioners such as doctors, nurse practitioners and other clinical professionals across the well-being spectrum. Read: Head to head: Is telemedicine the right route to employee health care? “Telemedicine will shape the future of health care through consumer-grade platforms that unify and simplify the end-to-end patient experience, marrying digital scale with human personalization,” said Neil King, president of LifeWorks and executive vice-president of Morneau Shepell, in a press release. “Today, millions of employees and their families turn first to Morneau Shepell for support on a wide range of well-being issues. We have a unique opportunity to support their needs with a new generation of unified telemedicine solutions. It’s a natural fit in our total well-being portfolio.” Accessed via the LifeWorks’ platform, the new service aims to provide faster access to care for patients, a simplified experience, access to multiple consultation approaches and integration into a continuum of care spanning multiple health-care modalities. Read the full article at BenefitsCanada.com

Staff  | October 8, 2020 While the Association of Canadian Pension Management is urging the Newfoundland and Labrador government to introduce legislative amendments to facilitate pension unlocking in cases of financial hardship, it also suggests this move should include plan sponsors. In response to the provincial government’s questionnaire on the topic, the ACPM recommended that locked-in retirement accounts, life income funds and locked-in retirement income funds be eligible for unlocking provisions. In addition, it said unlocking provisions be permitted in defined benefit pension plans, an option not included in the questionnaire, with the caveat that this shouldn’t be an unfettered right, suggesting “any unlocking should only be if the sponsors to such plan amend the plan to permit any unlocking.” Read: Sounding Board: Governments must ease burden on pension plans in era of coronavirus The association noted that unlocking under financial hardship is contrary to its general principle that funds remain locked in until pension plan members reach retirement age, but it also acknowledged the policy rationale for offering this exception. It also referred to other jurisdictions — British Columbia, Alberta, Ontario and Nova Scotia — which permit unlocking due to financial hardship. “Therefore, this change would provide harmony with other jurisdictions, which would be supported by...

Staff  | October 8, 2020 To recognize frontline, hourly employees for their service during the coronavirus pandemic,  Lowe’s Canada is paying a discretionary bonus to all eligible full-time, part-time and seasonal staff. Full-time hourly associates will receive $300, while part-time and seasonal associates will receive $150. The October bonus is in addition to the discretionary bonuses paid to all eligible hourly employees in March and August, as well as the special $2-an-hour wage premium paid on hours worked throughout the months of April, May, June and July. Read: Canadian employers planning to hold the line on pay raises in 2020: survey “Since March, our teams have worked tirelessly to meet the needs of our customers and communities, showing tremendous dedication and resilience along the way as we continue to face a situation that is changing the way we work and support one another,” said Tony Hurst, president of Lowe’s Canada, in a press release. “As we enter the second wave of the pandemic, we are pleased to award this discretionary bonus to thank our frontline associates for their continued commitment and hard work.” Read the full article at BenefitsCanada.com