Insurable Interest Canadian Insurance Blog

Canadians’ are getting less access to new drugs as a result of updated guidelines to control the prices of patented medicines, according to a new report published by Life Sciences Ontario (LSO). The study conducted by IQVIA Inc., a global leader in health data and analytics, examined the rate of commercialization of new medicines in Canada and other leading global jurisdictions over the past 20 years from 2000 to 2019. Over that period, researchers found that out of 25 countries, Canada ranked fourth with respect to time to launch – that is, it was the fourth fastest in launching new active substances – with a median time of 1.2 years from global launch of a new active substance to local country launch. It also took ninth place globally based on the proportion of new medicines launched globally. IQVIA found that out of 516 new medicines introduced globally from 2000 to 2019, 66% went on to launch in the Canadian market. “Up until 2018, Canada was gradually getting faster and [seeing] more extensive access to therapies relative to other countries,” LSO said in a statement. But the research showed that new drug launches declined in Canada in 2019, with just 13...

Staff | June 26, 2020 The Canada Pension Plan Investment Board is building on its partnership with Lendlease Corp. with a further £85 million 50/50 co-investment in the U.K. residential real estate sector. The investment will go toward the building of 123 new build-to-rent homes in south London’s Elephant Park neighbourhood. It marks the second investment the organizations made together this year, having put £80 million towards the construction of an 18-storey building in February. Read: CPPIB strengthens partnership in U.K.’s build-to-rent sector “The build-to-rent sector in the U.K. continues to be supported by long-term trends, particularly in London and other major U.K. cities,” said Andrea Orlandi, managing director and head of real estate for Europe at the CPPIB, in a press release. “Private rentals are an increasingly attractive and flexible option for households. The Elephant Park project continues to move ahead towards completion for the first phase and our latest financial commitment will help to progress this landmark regeneration project. It also extends our positive, broader relationship with Lendlease, which seeks to identify further investment and regeneration development opportunities in the U.K.” Read the full article at BenefitsCanada.com

Staff  | June 26, 2020 Morneau Shepell Ltd. is appointing Glen Oikawa as a client relationship partner, retirement solutions partner and Calgary office leader. In the new role, he’ll focus on delivering innovation, thought leadership and dedicated service to several of the organization’s largest plan sponsor clients across Western Canada. With more than 20 years of experience in financial well-being, defined benefit and defined contribution pension consulting, client management and business development experience, Oikawa has worked with plan sponsors in both the private and public sector. He has also provided strategic advice to plan sponsors relating to their total rewards programs. Read: Morneau Shepell names Mazen Shakeel vice-president Previously, he spent 15 years at Aon in roles including partner, pension consultant and actuary. He began his career at Mercer Canada as an actuarial analyst. “I have spent my entire career focused on serving clients to build unique solutions that address their business and pension needs,” he said in a press release. “I’m also passionate about building effective and energetic teams focused on clients and growth. I am honoured to join Morneau Shepell as their Calgary office leader and look forward to bringing the total well-being perspective to our clients.” Read the full article at BenefitsCanada.com

Staff | June 26, 2020 The vast majority (81 per cent) of global pension plan sponsors said they have allocations to some kind of climate change-related funds, according to a new survey from CREATE-Research. Specifically, when it comes to passive funds, 44 per cent of respondents said they allocated at least some of the passive segment of their portfolio to a climate change-related fund. A quarter (26 per cent) said they allocated 15 per cent or more to passive climate change funds, while 56 per cent said they didn’t have any of these passive allocations. The survey also found a clear preference for active allocations when it comes to climate change-related investing. “The key reason behind the difference is that climate change remains an inexact science for investors. Hence, initially, they have preferred to invest with specialist active managers who have long developed an infrastructure of skills, technology and data to build up a good track record in theme investing. Besides, some of the underlying asset classes — like private equity and infrastructure — are in illiquid markets where indices remain a rarity.” Read: UTAM joins institutional investors calling on aviation sector to address climate change Another potential reason is the relatively new concept of using passive vehicles to...

Staff | June 26, 2020 While 55 per cent of Canadian plan members take at least one medication on a regular basis, this increases to 70 per cent among those with a chronic condition and/or chronic pain and 87 per cent among those in poor health, according to the 2020 Sanofi Canada health-care survey. In addition, 23 per cent of plan members with a chronic condition and/or chronic pain and 48 per cent of plan members in poor health take three or more medications. And 43 per cent of plan members who take at least one medication agreed they sometimes don’t take their medication, increasing to 61 per cent among those aged 18 to 34. The biggest reason cited was forgetfulness (41 per cent), followed by the perception that the patient doesn’t need it because they feel fine (24 per cent) or they ran out (20 per cent). Convenience may also be a factor, with 69 per cent of plan members regularly taking at least one medication agreeing it’s inconvenient to go to their physician to get their prescriptions renewed. Read: A look at pharmacists’ role in supporting drug adherence “Interestingly, job satisfaction is among factors that appear to influence results,” said Adrian Ebrahimi, account...

Staff  | June 26, 2020 Plan design changes are on the horizon for the Ontario Municipal Employees Retirement System’s primary pension plan. The OMERS Sponsors Corp. board has approved five plan changes. The first three changes are effective immediately and are tied to circumstances related to the coronavirus. The other two are part of the annual plan review, which were announced in April, and will take effect Jan. 1, 2023. “The OMERS Sponsors Corp. board of directors is made up of representatives of sponsor organizations,” said Michael Rolland, chief executive officer of the OMERS Sponsors Corp., in a press release. “The SC board is charged with the annual responsibility of reviewing plan design and making changes to ensure the plan remains sustainable, affordable and meaningful for the OMERS community long into the future.” Read: OMERS considering shared-risk indexing, expanded eligibility to non full-time workers Normally, when plan members return from leave periods, they may be able to purchase the period to add to their OMERS credited service. The OMERS is now extending its leave purchase deadlines by one year for members who return from a leave of absence in 2020 or 2021. It’s also reducing or eliminating the 36-month employment requirement for...

Frustration tops the list of what attendees of the NAAIA webinar are feeling. This is the moment unlike any before that can bring real change in companies, individuals and the insurance industry as a whole. But it will take introspection into ourselves and our businesses – for both whites and people of color. That was a key takeaway from a National African American Insurance Association webinar featuring Al Vivian, an Atlanta-based inclusion and diversity consultant who was worked with clients such as Coca-Cola. The association invited Vivian to lead a discussion about where to take the issues beyond the anger and frustration many Americans of all races have been feeling, said Margaret Redd, executive director of NAAIA, which represents 750 members across all sectors of insurance. “The recent, senseless murders of George Floyd, Breonna Taylor, Ahmaud Arbery and countless others have highlighted the issues of systemic racism and social injustice in this country,” Redd said. “These incidents have emerged to touch the hearts and consciousness of America and the world.” Vivian said Black Americans have been hopeful during other periods of upheaval that inspired a national conversation on race. But those occasions failed to move the issues forward significantly. People...

Manulife, along with its wholly owned subsidiary John Hancock, have announced plans to promote workplace diversity, equity, and inclusion in the communities it serves by investing more than $3.5 million over the next two years. “We recognize that driving change means taking action, which is why we are making these important investments in building greater diversity on our team, and a deeper awareness of the role we can all play in being an ally and supporter of inclusion,” Manulife President and CEO Roy Gori said in a statement. Gori said that Manulife’s plan focuses on “the most critical levers [to] create long-lasting change,” based on perspectives shared in candid discussions with the company’s team. The firm aims to increase representation of diverse talent at all levels of the organization; foster greater inclusion across the company through enhanced training; and support organizations helping Black, Indigenous, and People of Colour (BIPOC) communities. Manulife said its plan will encompass three pillars of initiatives: Building representation of BIPOC professionals through graduate programs, focused leadership recruitment efforts, and accelerated mid-career development; Going beyond its mandatory unconscious bias training with programs designed to educate and orient all employees, including regular listening forums to enable greater understanding...

Staff | June 25, 2020 Canada is providing federally regulated employers with more time to recall employees who were laid off due to the coronavirus pandemic. Under employment legislation, employers could temporarily lay off staff for up to three months if no notice with a recall date was provided or for up to six months or if they provided a notice with an expected recall date before those layoffs became terminations. As of June 22, employers who laid off staff prior to March 31 will be able to extend their layoffs by six months or until Dec. 30. Employers who laid off staff between March 31 and Sept. 30 will have up until Dec. 30 to recall their employees unless they provided a later recall date in a written notice. Read: Ontario amending employment standards to make temporary layoffs part of new emergency leave “We know that many employers who have had to temporarily lay off employees intend to bring them back to work,” said Minister of Labour Filomena Tassi in a press release. “However, there is still a great deal of uncertainty regarding exactly when that will be possible. That’s why we are taking action to protect the jobs of those employees and to support those employers by...

Staff  | June 25, 2020 Manulife Financial and its U.S. division John Hancock are investing more than $3.5 million over the next two years to promote diversity, equity and inclusion in the workplace and in the communities they serve. In a press release, the organizations said the goals of these investments are three-fold: to increase the representation of diverse talent at all levels in the organization; to create greater inclusion across the company through enhanced training; and to support organizations helping Black, Indigenous and other racialized communities. Read: OPB outlines commitment to stand against anti-Black, anti-Indigenous racism “We recognize that driving change means taking action, which is why we are making these important investments in building greater diversity on our team and a deeper awareness of the role we can all play in being an ally and supporter of inclusion,” said Roy Gori, Manulife’s president and chief executive officer. “Through candid discussions with our team, we’ve developed this plan based on their feedback, focusing on areas they see as the most critical levers to helping us create long-lasting change.” The program covers three pillars of initiatives: Building representation of Black, Indigenous and other racialized professionals through graduate programs, focused leadership recruitment efforts and accelerated mid-career development; Programs...