{"id":15934,"date":"2019-07-11T09:00:31","date_gmt":"2019-07-11T13:00:31","guid":{"rendered":"https:\/\/www.benefitscanada.com\/pensions\/cap\/cap-webinar-highlights-plan-member-understanding-of-decumulation-132779"},"modified":"2019-07-11T09:00:31","modified_gmt":"2019-07-11T13:00:31","slug":"cap-webinar-highlights-plan-member-understanding-of-decumulation","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2019\/07\/11\/cap-webinar-highlights-plan-member-understanding-of-decumulation\/","title":{"rendered":"CAP webinar highlights plan member understanding of decumulation"},"content":{"rendered":"\n
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Staff<\/span> | July 11, 2019 <\/p>\n

The majority of Canadian capital accumulation plan members said they\u2019re confident in their understanding of how to optimize their income in retirement, according to Benefits Canada<\/em>\u2018s 2019 CAP Member Survey.<\/p>\n

Across all survey respondents, 63 per cent said they\u2019re confident on this topic. When the answers were broken down by generations, the survey found baby boomers (69 per cent) and generation X (69 per cent) were more confident than millennials (53 per cent).<\/p>\n

This year\u2019s survey, highlighted in a session at the 2019 Benefits and Pension Summit<\/a>, was followed by a webinar on June 26 to dig deeper into all the survey\u2019s additional findings.<\/p>\n

During the webinar, Joe Nunes, executive chairman of Actuarial Solutions Inc., said it\u2019s difficult to separate plan members who are knowledgeably confident from those who are confident but ignorant about the truth.<\/p>\n

Read: 2019 CAP Member Survey: Helping each generation on their retirement journey<\/a><\/strong><\/p>\n

\u201cI think plan sponsors need to be vigilant to not only watch for confidence in plan members, but also to monitor their knowledge to make sure it\u2019s the former and not the latter,\u201d he said. \u201cPlan sponsors need methods to test member understanding and engagement. Twenty years ago, record keepers built great websites and educational tools that less than 20 per cent of members were using. The alarm bells should have been ringing a long time ago on this.\u201d<\/p>\n

It also comes down to making sure the right products are available, especially when it comes to decumulation options. The federal and Ontario governments are both making legislative moves to facilitate these options for CAP members, but it will be down to plan sponsors to ensure their members understand them.<\/p>\n

Read: <\/b>Industry praises budget proposals to allow variable annuities for CAP members<\/strong><\/a><\/p>\n

\u201cI really believe that allowing for decumulation options within CAPs \u2014 especially priced on a group basis \u2014 is going to be an important step forward for CAP plans,\u201d said Nunes. \u201cWe need to be vigilant to make sure plan members understand these options and also their limitations. The industry has been clamouring for variable benefits from DC plans, so now we\u2019re going to get that. Let\u2019s see how it goes.<\/p>\n

\u201cThe other thing I\u2019d add is there\u2019s still a significant portion of plan sponsors that want nothing to do with former employees once they\u2019re off the payroll, so I think that\u2019s something that employers are going to have to go back and reassess.\u201d<\/p>\n

Watch the full webinar here<\/a>.<\/strong><\/p>\n

Read the full article at BenefitsCanada.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Staff | July 11, 2019 The majority of Canadian capital accumulation plan members said they\u2019re confident in their understanding of how to optimize their income in retirement, according to Benefits Canada\u2018s 2019 CAP Member Survey. Across all survey respondents, 63...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/15934"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=15934"}],"version-history":[{"count":0,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/15934\/revisions"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=15934"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=15934"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=15934"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}