How much does the Plan cost?

The cost of coverage effective January 1, 2012, is as follows:

You must add provincial tax (currently 9% in Québec and 8% in Ontario) to these amounts.

Note: In certain instances of disability, you may be entitled to a waiver of premiums.

How can I pay my premiums?

Premiums are payable through bi-weekly payroll deductions.

How are the premiums determined?

Contrary to popular belief, Industrial Alliance does not arbitrarily determine the premiums. Neither does QPAT.

Each year, the premiums are essentially based on how much participants claimed from the Plan in the prior year and how much they are expected to use the Plan in the current year. The greater the total amount claimed, the higher the premiums in the following year. That's because the Plan works somewhat like a bank account:

1. All premiums are deposited in the Plan's account.
   
   
2. Whenever a participant makes a claim, the amount payable from the Plan is deducted from the account.
   
   
3. At the end of the calendar year, there has to be enough in the account to pay all the claims made during the year as well as Industrial Alliance's expense to administer the Plan.