Insurable Interest Canadian Insurance Blog

Insurers offering retirement plans are focused on driving down costs and attracting new clients, all while retaining existing clients and assets: Novarica Boston, MA (Aug. 18, 2020) – Defined contribution plan providers continue to make technology investments across the value chain in response to regulatory changes, expanded competition, and the ongoing pressure related to margins. In a new Business and Technology Trends report, Business and Technology Trends: Defined Contribution Retirement Plans, research and advisory firm Novarica provides an overview of defined contribution retirement plan provider business and technology issues, data about the marketplace, and several examples of recent technology investments by insurers offering defined contribution retirement plans. “Plan providers must satisfy three constituencies,” said Nancy Casbarro, Vice President of Research and Consulting and co-author of Novarica’s new report. “The brokers and consultants that help firms select defined contribution plans, plan sponsors, and plan participants. Brokers and consultants seek analytics-driven insights. Plan sponsors seek to ensure financial wellness for their employees. And plan participants expect the self-service and user experience they’ve received from other industries, like retail, investment banking firms, and airlines.” Among the key findings of the reports are: Most technology investment goes toward case installation and distribution. Onboarding requires...

Staff | August 24, 2020 The Ontario division of the Canadian Mental Health Association is providing a toolkit for employers and employees to help them navigate the complex mental-health realities of physically returning to work as the coronavirus pandemic continues. Developed in partnership with Mental Health Works and BounceBack Ontario, the toolkit seeks to help employers create policies and procedures to support their staff. It includes guidelines to help them fold mental-health components into their safety precautions, given the anxiety felt by workers. Indeed, research conducted by the CMHA Ontario in May found 70 per cent of Ontarians believe the province is heading toward a major mental-health crisis. Read: Anxiety on the rise, overtaking depression as top mental-health concern: analysis “The pandemic has created new challenges for nearly everyone and we recognize a physical return to work may add to the existing stress or anxiety people are feeling at this time, which is why we created this toolkit,” said Camille Quenneville, chief executive officer of CMHA Ontario, in a press release. “Providing accommodations to help your employees during a return-to-the-workplace process doesn’t have to be complicated. Simple things like communicating well and listening to the needs of your staff can help ease concerns and help employees come...

Canada’s public health system is one of many points of national pride among Canadians. But because it’s financed through general government revenues and hospital services covered by the public healthcare system are free at the point of service, many don’t know exactly how much it costs them. This year, the math has become even more complicated thanks to the impact of the COVID-19 outbreak. But that hasn’t stopped the Fraser Institute from continuing its annual study on the price of public healthcare insurance. Drawing from its most recent Canadian Tax Simulator data, the institute’s preliminary estimates that typically, unattached individuals will pay $4,894 in healthcare insurance this year. Two parents with no children will pay $13,745; those raising one child will pay $13,262, while those with two children will pay $14,474. For a solo parent with one child, that cost is estimated at $4,301, just slightly higher than the $4,190 for a single parent with two children. The institute estimated that in the 2020/21 fiscal year, 28.8% of tax revenues from income will be spent on healthcare. Assuming further that the family’s total tax bill dedicated to healthcare insurance is proportionately equal to the amount of tax revenue spent by...

Eagle-Tribune (North Andover, MA) Aug. 22–LONDONDERRY — Prosecutors trying to convict William Argie, 48, of killing his wife last year are building their case on a broken marriage and a murder-for-hire attempt, among other substantial troubles, according to new court documents. The documents request that a judge allow certain evidence at trial, including personal details about William Argie’s life with the victim — his wife of 13 years, Maureen. Police publicly identified Maureen Argie, 41, soon after finding her strangled to death April 4, 2019 in the Londonderry home she shared with her husband and their two young children, a boy and a girl both in elementary school. Her husband was arrested two months later and eventually charged with purposeful first-degree murder, an alternative count of reckless second-degree murder, and falsifying evidence. William Argie has pleaded not guilty to all charges and is scheduled for a 10-day trial to begin in January 2021. Advertisement Details of the case have remained largely hidden from public view in sealed court documents. However, Senior Assistant Attorney General Peter Hinckley and Assistant Attorney General Heather Cherniske wrote in recent, unsealed documents, about the Argie’s “imminent divorce” and “deepening financial troubles.” Not only was there...

Staff  | August 21, 2020 In the months following the onset of the coronavirus pandemic, anxiety is on the rise over other mental-health conditions, overtaking depression as the No. 1 mental-health concern Canadians are seeking treatment for, according to a new analysis by MindBeacon Group. The organization’s clinical team, led by Dr. Peter Farvolden, its chief science officer, took a deep dive into the myriad mental-health issues currently affecting its users. In the five-month period since the crisis began, cases of Canadians struggling with generalized anxiety disorder have ballooned from 34 per cent to 46 per cent as the leading concern. Read: MindBeacon launches digital mental-health programs to help Canadians with coronavirus-related stress The analysis also found a 10-point jump of users with generalized anxiety disorder experiencing severe symptoms, from 32 per cent to 42 per cent in the past five months. The significant rise in anxiety, according to Dr. Farvolden, is to be expected with a population under conditions of massive change and uncertainty. Based on the analysis, he said, one prime concern is that, with the risk of such a prolonged duration of stress, exhaustion and burnout will set in. “This type of mental exhaustion will likely lead to the rise of other stress-related disorders beyond anxiety....

Staff | August 21, 2020 The Ontario Municipal Employees Retirement System’s Sponsor Corp. board is changing from a co-chair to a chair and vice-chair system. After discussions on changes to the governance model that took place in 2019, the board voted unanimously to elect Frank Ramagnano and Barry Brown as its first chair and vice-chair, respectively, replacing its legacy arrangement, where the employer sponsor group and the employee sponsor group each chose a co-chair. “This good news represents a key evolution for the OMERS governance and decision-making model,” said Michael Rolland, chief executive officer of the OMERS Sponsors Corp., in a press release. “This change reinforces the [Sponsor Corp.] board’s fiduciary responsibilities, in that both the chair and vice-chair will formally focus on the best interest of OMERS as a whole, rather than being elected to represent the employee and employer groups’ perspectives. Read: Ontario Teachers’ invests in supply chain tech, announces CFO to retire “For the first time in its history, the [Sponsor Corp.] board’s leadership has been chosen with the full participation of the entire board. The unanimous support for Frank and Barry underlines their aptitude, experience and close understanding of OMERS.” Ramagnano joined the OMERS Sponsors Corp. in 2009, rising to co-chair of the...

By Robbin Smith One lesson the pandemic has taught us is the prudence of policy review. Mortality is now front of mind for clients and they have understandable concerns about their insurability. Not only are people working from home, but also they are working on their homes, going through closets and cabinets, and getting their affairs in order. Life insurance is part of this process and has become of increased importance for some people. On top of that, the marketplace continues to see change as carriers are repricing their products according to current conditions. Many insurers are using expedited underwriting, with no paramed exam, for certain ages and amounts. The process can be virtual from start to finish, which allows financial professionals to connect with and help clients during this remote working environment. Three Main Reasons For A Policy Review Needs may have changed. Clients’ financial goals and objectives change over time. Financial professionals will assess the current needs when evaluating the policy and provide alternatives that may be more appropriate for their current situation. Improved mortality. People are living longer, and mortality costs have come down over time. Carriers had to reprice their products in 2009 and in 2019...

Staff | August 21, 2020 Texas-based Insurance Zebra is stepping up for employee wellness by helping them welcome furry friends into their lives. The insurer has added a $300 annual benefit for employees adopting a new dog or cat and encouraging staff to take paid time off for “paw-ternity” leave. “There was a time a while ago when I took my labrador Zuma with me on the train into my office daily,” said Keith Melnick, the company’s chief executive officer, in a press release. “I know this kind of companionship can make a huge difference in quality of life and mental health. Especially now that we’re all working remotely for the foreseeable future, I want to make sure that anyone at the Zebra who wants to can experience that.” Read: Should employers welcome pets to the workplace? Multiple staff members have already made use of the benefit. Maribeliz Ortiz, Zebra’s agency quality assurance coordinator, welcomed a long-haired dachshund named Niko. “I’m not ready to have a child any time soon, but it feels really nice to be supported by my company to help start a family in the way I can right now.” As well, Dan Kujanek, the firm’s senior manager of performance marketing, and his wife adopted their...

Staff  | August 21, 2020 Dialogue is expanding its health-care services by introducing an employee assistance program. The mobile-first EAP, which will be integrated into the company’s virtual-care services, aims to connect employees with the right professional quickly through an easy-to-use app. Employees will receive quick virtual access to practitioners across multiple disciplines, including mental health, financial services, legal support, career counselling and crisis management. Read: What you don’t know about your employee assistance program “As health and wellness continues to be a top priority for organizations, it’s critical that we simplify access to important tools like employee assistance programs and make it as easy as possible for people to get the support they need, as soon as they need it,” said Jean-Nicolas Guillemette, chief operating officer at Dialogue, in a press release. The new EAP was developed in partnership with Dialogue’s existing clients, according to the release. It will launch in the fall of 2020 and will be offered on a per employee, per month basis starting with existing plan sponsor clients. Read: Evaluating the value of employee assistance programs Read the full article at BenefitsCanada.com

Canada Life and Mackenzie Investments have announced the launch of the Canada Life shelf of mutual funds. Available to investors beginning on September 9, the new shelf comes from a rebrand of the existing Quadrus Group of Funds suite. It will feature 18 new mutual funds, representing a curated selection of competitive investment managers that encompass a range of managers, asset classes, and styles. Canada Life Mutual Funds – which will include Canadian, U.S. and global equity, as well as fixed-income and balanced funds along with asset-allocation strategies – are managed by Mackenzie Investments and will be made exclusively available through Quadrus Investment Services, a subsidiary of Canada Life. The new mutual funds will also have more cohesion with Canada Life’s segregated fund shelf as it will closely align with the existing collection of seg funds. “Increasing the overlap between the mutual fund and segregated fund shelves means that customers and advisors can determine which products are most appropriate for their portfolios, providing greater flexibility and choice to build an investment solution that meets the customer’s unique financial needs and goals,” said Paul Orlander, executive vice-president, Individual Customer, Canada Life. The news of Canada Life’s rebranded mutual-fund shelf comes after...