Life and AD&D
A flat amount or salary-based life benefit, sometimes paired with coverage for defined accidental events and losses.
Employee income protection
Group Life and Disability Insurance in Canada
Life and disability insurance helps protect employees and their families when death, illness or injury creates a serious financial disruption.
Talk to a benefits advisorGroup life insurance can provide a defined payment to a beneficiary after an insured employee dies. Disability coverage can replace part of eligible income when an employee meets the policy definition of disability and completes the applicable waiting period.
These benefits address different risks and should be reviewed separately. Accidental death and dismemberment, critical illness, short-term disability and long-term disability each have their own definitions, limits and exclusions.
Understanding the benefit
What life and disability coverage may include
A group protection package may contain several distinct benefits:
Short-term disability
Income replacement during an eligible shorter absence after the contract waiting period, where offered.
Long-term disability
Longer-term income protection subject to the insured earnings definition, monthly maximum, offsets and disability definition.
Plan design
What employers should compare
Map sick pay, short-term coverage and long-term coverage on one timeline to identify gaps. Review benefit amounts, waiting periods, maximum durations, evidence requirements, age reductions, conversion rights and disability definitions. Premium funding and tax treatment must be confirmed benefit by benefit.
Three questions to ask
- 1 Would a flat life benefit or salary multiple better reflect the workforce and budget?
- 2 Do waiting periods and benefit durations create gaps between sick leave, short-term and long-term protection?
- 3 How do the disability definition, insured earnings, monthly maximum and offsets affect real income protection?
Explore related employee benefits
Build the right plan
Turn benefit options into a workable plan.
A NextGen advisor can help you compare coverage, understand the trade-offs and build a sustainable benefits program for your organization.
Talk to an advisor