2021 Bulletin on British Columbia Social Legislation
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2021 Bulletin on British Columbia Social Legislation
2021 Bulletin
on British Columbia Social Legislation
We are proud to present the first edition of the Bulletin on British Columbia Social Legislation. It outlines the terms and conditions
of the various federal and provincial social assistance programs in effect this year. These programs provide basic financial and
physical security for the entire population.
Over the years, SSQ Insurance has evolved in response to social changes, customer needs and the realities faced by the organizations
and individuals it insures. Through changing times, one thing has remained constant: our desire to preserve the collective spirit
and solidarity, values that have, since the very beginning, guided our actions and continue to inspire us every day.
Offering solutions that complement these public programs is one of our missions. Every day, we find innovative solutions to better
serve the interests of our plan members and customers. Pertinent and adapted products, excellent and attentive service, an
unwavering devotion to reinvention: this is how our Company continues to help its customers plan their future and protect their
financial assets throughout their lives.
With 2020 being marked by the COVID-19 pandemic and its significant impact on the economic, financial and health
fronts, this year’s edition of our bulletin includes information on the measures temporarily put in place to support
the population during this crisis. Some of these measures may thus change depending on how the health and
economic situation unfolds. It is therefore always advisable to check the updated information on the websites of
the respective ministries and agencies.
Table of Contents
1. Employment Insurance Act . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
2. Canada Child Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
3. BC Child Opportunity Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
4. Workplace Safety and Insurance Act . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
5. Employment Standards Act . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
6. Automobile Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
7. Canada Pension Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
8. Old Age Security Act . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
9. Health Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
10. Income Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
11. Tax Impact of Group Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15Return to the Table of Contents
Employment and Social Development Canada
1. Employment Insurance Act
Canadian workers and their employers pay premiums to be eligible for coverage under the Employment Insurance Act. This coverage
allows them to receive some income in the event of job loss, parental leave or to support a critically ill family member.
Contributions
2021 2020
Yearly maximum insurable earnings $56,300 $54,200
Employee premium rate per $100 of gross insurable earnings: 1.58% 1.58%
Maximum annual employee premium $889.54 $856.36
Employer premium rate per $100 of gross insurable earnings
2.212% 2.212%
(1.4 times the employee’s contribution):
Maximum annual employer premium $1,245.36 $1,198.90
Types of Benefits
Different types of benefits are offered to Canadians depending on their personal circumstances.
Regular Benefits
Employment Insurance (EI) provides regular benefits to people who lose their jobs through no fault of their own (for example,
due to shortage of work, seasonal layoffs, etc.) and who are available for and able to work, but can’t find a job. To be eligible,
individuals must have worked between 420 and 700 hours* during the reference period.
Sickness Benefits
Sickness benefits paid to individuals who are unable to work because of sickness, injury, or quarantine. To be eligible, workers
must accumulate 600 insurable hours* and have lost more than 40% of their earnings.
Regular and Sickness Benefits
Maximum insurable annual earnings in 2021 $56,300
Waiting period before receiving benefits 7 days
Benefits 55% of the average insurable salary over the past 52 weeks
Maximum weekly benefit $596
Duration of benefits Regular
From 14 to 45 weeks, based on the unemployment rate in the region
Sickness
A maximum of 15 weeks
A Closer Look at Group Insurance
Integrated and Non-Integrated Plans
Usually, social programs are first payers. Short-term and long-term disability insurance coverage serve as a complement
to the basic protection offered by government programs.
Working While on Claim
With Working While on Claim, individuals can keep receiving part of their EI benefits and all earnings from their job. This means,
they may keep 50 cents of their EI benefits for every dollar earned, up to 90% of the weekly insurable earnings used to calculate
the benefits. Any amount earned beyond this threshold is deducted dollar for dollar from their benefits.
For more information: Employment Insurance – Working While on Claim
* Caution: Temporary COVID-19 relief measure.
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 1Return to the Table of Contents
Variable Best Weeks
The EI benefits rate is based on the best paid weeks of the previous year. The number of weeks used in the calculation varies
from 14 to 22 depending on the unemployment rate in the economic region where the claimant resides.
For more information: Variable Best Weeks
COVID-19 Measure
Canada Recovery Benefit (CRB) for people who do not qualify for regular EI benefits
The Canada Recovery Benefit (CRB) gives income support to employed and self-employed individuals who are directly affected by
COVID-19 and are not entitled to EI benefits. Eligible individuals could receive $1,000 ($900 after taxes withheld) for a 2-week
period. If their situation continues past 2 weeks, individuals will need to apply again every 2 weeks, up to a total of 13 eligibility
periods (26 weeks) between September 27, 2020 and September 25, 2021. Specific eligibility criteria apply depending on the
circumstances of the applicants. Learn more
Temporary easing of eligibility requirements for regular benefits
Since September 27, 2020, temporary changes have been made to the eligibility requirements for EI benefits. These changes will
be in effect for one year:
• A minimum unemployment rate of 13.1% applies to all regions across Canada since August 9, 2020:
- if your region’s unemployment rate is higher than 13.1%, the higher actual rate is used to calculate benefits.
- this means you can receive at least 26 weeks of regular benefits.
• You only need 120 insured hours to qualify for benefits because you’ll get a one-time credit of:
- 300 insured hours to help you meet the required 420 insured hours of work for regular benefits.
- 480 insured hours to help you meet the required 600 insured hours of work for sickness or caregiver benefits.
• You’ll receive at least $500 per week before taxes but you could receive more.
• If you received the Canada Emergency Response Benefit (CERB), the 52-week period to accumulate insured hours will be extended.
Caregiving Benefits
Employment Insurance offers three types of caregiving benefits. To be eligible, workers must have accumulated at least 600 insurable
hours* and have lost more than 40% of their earnings. The benefits are equal to 55% of the average insurable salary over the
last 52 weeks, up to a maximum of $596 per week. The waiting period before receiving benefits is seven days.
Benefits Maximum weeks Person receiving care
payable1
Family caregiver benefit for children 35 weeks A critically ill or injured person under 18
Family caregiver benefit for adults 15 weeks A critically ill or injured person 18 or over
Compassionate care benefits 26 weeks A person of any age who requires end-of-life care
1
Benefits can be paid for up to 52 weeks following the date the person is certified by a medical doctor or nurse practitioner as critically ill or injured
or in need of end-of-life care.
Canada Training Benefit
In late 2020, the federal government introduced financial assistance to help Canadians between the ages of 25 and 64 pay for
training. This support includes:
• A non-taxable training credit to help Canadians with the cost of training. Eligible workers accumulate a credit balance at a rate
of $250 per year, up to a lifetime maximum of $5,000. The credit can be used to refund up to half the costs of taking a course or
enrolling in a training program.
• An Employment Insurance Training Support Benefit that provides workers with up to four weeks of income support paid at 55% of
average weekly earnings to help workers on training leave and not receiving their regular paycheque cover their living expenses
such as rent, utilities and groceries.
• Leave provisions to protect workers’ ability to take time away from work to pursue training.
The Canada Training Benefit will cover up to 50% of direct costs of training. For more information on this measure, refer to the
following page on the 2019 Federal budget website: The Canada Training Benefit.
For more on the improvements and changes made to different Employment Insurance programs, see Employment Insurance
– Recent improvements and overview.
*Caution: Temporary COVID-19 relief measure.
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 2Return to the Table of Contents
EI Maternity and Parental Benefits
EI maternity and parental benefits provide financial assistance to:
• people who are away from work because they’re pregnant or have recently given birth
• parents who are away from work to care for their newborn or newly adopted child
Eligibility Criteria
• Be pregnant or have recently given birth when applying for maternity benefits.
• Be a parent caring for a newborn or newly adopted child when applying for parental benefits.
• Have experienced a drop in earnings of more than 40% of income for at least one week.
• Have accumulated 600 hours* of insurable employment in the last 52 weeks preceding the start of the claim, or since the start
of the last claim, whichever is the shorter period.
Maternity Benefits
Maternity benefits are paid to biological mothers, including surrogate mothers, who cannot work because they are pregnant or
have recently given birth. They cannot be shared between the two parents. The person receiving maternity benefits may also be
entitled to receive parental benefits.
Parental Benefits
Parental benefits are paid to the parents of a newborn or newly adopted child. Parents must choose between two options: Standard
parental benefits or extended parental benefits. Once they start receiving parental benefits, they cannot change options.
Parents sharing benefits must each choose the same option. They can receive their weeks of benefits at the same time or one
after another. Each parent must submit their own application
Benefits Maximum Weeks Benefit Rate Weekly Maximum
Maternity Up to 15 weeks 55% $595
Parental
Standard Up to 40 weeks
One parent cannot receive more than 35 55% $595
weeks of standard benefits
Extended Up to 69 weeks
One parent cannot receive more than 61 33% $357
weeks of extended benefits
COVID-19 Measure
Since September 27, 2020, temporary changes have been made to the eligibility requirements. Claimants only need 120 insurable
hours to qualify for benefits because they will get a one-time credit of 480 insured hours. For maternity and standard parental
benefits, they will receive at least $500 per week before taxes. For extended parental benefits, they’ll receive at least $300 per week
before taxes.
Additional Information
Employment Insurance benefits and leave
*Caution: Temporary COVID-19 relief measure.
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 3Return to the Table of Contents
Canada Revenue Agency
2. Canada Child Benefit
The Canada Child Benefit (CCB) is a tax-free monthly payment made to eligible families to help them with the cost of raising children
under 18 years of age. The CCB may include the child disability benefit, where applicable.
Primary Caregiver
The person primarily responsible for the care and upbringing of the child should apply for the CCB. The person primarily responsible
for the care and upbringing of the child is someone who:
• Supervises the child’s daily activities and needs
• Sees to it that the child’s medical needs are met
• Arranges for child care when necessary
When parents live together in the same household as the child, the Canada Revenue Agency automatically considers the mother
to be the person primarily responsible for the care and upbringing of the child. It is therefore up to the mother to submit the
application for benefits. If however, the father is the person primarily responsible for the care and upbringing of the child, he
must append a note from the mother with his application. The father then becomes the designated person primarily responsible
for the care and upbringing of all the children in the household.
In the case of same-sex parents living together in the same household as the child, either of the parents may apply for all children
in the household.
In the case of shared custody on a more or less equal basis, both parents can be deemed to be primarily responsible for the
child’s care and upbringing. Each eligible individual will get 50% of the payment he or she would have received if the child lived
with him or her full time.
Eligibility
To be eligible for the CCB, the individual primarily responsible for the child’s care and upbringing must:
• Live with the child who is under age 18
• Be a resident of Canada for tax purposes
• Satisfy any one of the following conditions:
- Be a Canadian citizen
- Be a permanent resident
- Be a protected person
- Be a temporary resident of Canada for the last 18 months and have a valid permit as of month 19
- Be an Indigenous person who meets the definition of "Indian" under the Indian Act
Benefits
The Canada Revenue Agency uses the information in the income tax and benefit return to calculate the CCB payments. In order
to receive the benefit, the primary caregiver must file an income tax return every year, regardless of whether or not they earned
any income. The primary caregiver’s spouse or partner must also file an income tax return every year.
Benefits are paid on a monthly basis, from July to June of the following year. The amount is recalculated in July based on the
information provided in the income tax return of the previous year. The information used to calculate the benefit is:
• The number of children living with the individual primarily responsible for their care and upbringing
• The age of the children concerned
• The adjusted family net income (AFNI), which appears on line 236 of the income tax return and to which is added the net income
of the spouse or partner, where applicable
• The eligibility of a child for the child disability benefit
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 4Return to the Table of Contents
Basic Benefit – July 2020 to June 2021
The CCB is calculated as follows:
• $6,765 per year ($563.75 per month) for each eligible child under the age of 6
• $5,708 per year ($475.67 per month) for each eligible child aged 6 to 17
The amount of CCB is reduced when the adjusted family net income (AFNI) is over $31,711. The reduction is calculated as follows:
Number of children Family income from $31,711 to $68,708 Family income over $68,708
1 child 7% of the income $2,590 + 3.2% of the income
2 children 13.5% of the income $4,995 + 5.7% of the income
3 children 19% of the income $7,029 + 8% of the income
4 children or more 23% of the income $8,509 + 9.5% of the income
Basic amount of the Child Disability Benefit (CDB) $2,886 per eligible child
How and When to Apply?
The individual primarily responsible for the child’s care and upbringing must submit a CCB application as soon as possible, namely:
• As of the child’s birth
• As soon as the child lives with them full time
• As soon as the spouse or partner satisfies the eligibility conditions
There are three ways to submit a CCB application:
• The Automated Benefits Application, possible through the partnership with Canada Revenue Agency (CRA) and the provincial vital
statistics office. The CRA uses the information on the child’s provincial birth registration form to determine the primary caregiver’s
eligibility for benefits and tax credits
• The CRA’s My Account service: The primary caregiver must have a valid account and apply for child benefits online.
• Complete the RC66 Canada Child Benefits Application available online.
Additional Information
Canada Child Benefit
Ministry of Children and Family Development
3. BC Child Opportunity Benefit
The Child Opportunity Benefit (BCCOB) is a tax-free monthly payment to families with children under the age of 18. The amount
is combined with the CCB into a single monthly payment.
If the adjusted family net income is more than $25,000 but less than $80,000, the BCCOB is reduced by 4% of the portion of the
adjusted family net income over $25,000. For families with an adjusted family net income of $80,000 or more, the remaining
benefit is reduced by 4% of the portion of the adjusted family net income over $80,000 until it is reduced to zero. The $25,000
and $80,000 thresholds will be indexed to inflation in future years.
NEW
Since October 1, 2020, the BC Child Opportunity Benefit has replaced the BC early Childhood Tax Benefit.
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 5Return to the Table of Contents
Overview of Benefit Amounts - October 1, 2020 to June 30, 2021
Adjusted family net income
Less than $25,000 $25,000 to $80,000 More than $80,000
First child $1,600 $700 to $1,600 $0 to $700
Second child $1,000 $680 to $1,000 $0 to $680
Each subsequent child $800 $660 to $800 $0 to $660
This program is fully funded by the Province of British Columbia and administered by the Canada Revenue Agency.
Additional Information
BC Child Opportunity Benefit
WorkSafeBC
4. Workplace Safety and Insurance Act
Workers’ Compensation
WorkSafeBC provides for an income replacement plan, medical coverage and support to help people get back to work after a
work-related injury or illness.
2021 Average Premium Rate
For 2021, WorkSafeBC is maintaining the premium rate paid since 2018 by businesses. This means the average rate is set at $1.55
on every $100 of insurable payroll.
Calculating Wage-Loss Benefits
For the purpose of calculating benefits, the WorksafeBC maximum insurable earnings ceiling for 2021 is $100,000. This amount
is adjusted once a year. It was $87,100 in 2020. Wage-loss payments are usually 90% of the worker’s average net earnings at the
time of the injury.
If a worker is still receiving compensation 10 weeks after the date of injury, the benefit rate will be reviewed.
Permanent Impairment Awards
A permanent impairment award is paid to a worker whose injury results in a permanent disability. It is paid to compensate for
the loss of earning capacity, not for the loss of enjoyment of life in general.
Benefits are generally based on the permanent functional impairment (PFA). The worker’s functional level is measured and
compared to established standards to calculate the disability rating. This percentage is then applied to the loss of earnings benefit
amount (i.e., 90% of the long-term wage rate). The amounts are paid monthly, in the same way as wage-loss benefits. However,
in certain circumstances, a lump-sum payment may be requested.
Death Benefits
When a worker dies as a result of a work-related injury, benefits are paid to the surviving spouse and children.
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 6Return to the Table of Contents
Benefits for Families
If a worker’s death results from a workplace accident, WorkSafeBC will pay the following benefits:
• Monthly pension benefit for the surviving spouse, based on the worker’s earnings. This benefit continues for the spouse’s lifetime
• Monthly benefit for a dependent child up to the age of 19. Benefits may continue to age 25 if the child regularly attends
post-secondary school
• Funeral expenses
• Grief counselling for the surviving spouse and dependent children
• Vocational counselling for the surviving spouse
Additional Information
WorkSafeBC
Ministry of Jobs, Tourism and Skills Training and Minister Responsible
for Labour Employment Standards
5. Employment Standards Act
The Employment Standards Act (ESA) provides the minimum standards for most employees working in British Columbia. It sets out
the rights and responsibilities of employees and employers in most British Columbia workplaces, including minimum wage, hours
of work limits, public holidays, vacation and some types of leave, as well as layoffs and termination of employment.
Job-Protected Leaves
Employees who have worked for an employer for at least two consecutive weeks may take job-protected leaves of absence each
year to meet family obligations or for personal events. Here is an overview of the terms and conditions surrounding these leaves.
Leave Maximum Length Conditions
Sick Leave 3 days per calendar year Unpaid
Cannot be carried over to the following year
Maternity Leave (or Before the birth: 13 weeks Unpaid
pregnancy leave) After the birth: leave continues for at least 6 An employer may request a note from a doctor
weeks after the birth or nurse practitioner that states the expected
Termination of a pregnancy: 6 weeks starting birth date or the actual birth date
on the date a pregnancy ends
The leave can be extended for 6 weeks if the
employee is unable to return to work for reasons
related to child birth or the pregnancy ending
Parental Leave 62 weeks Unpaid
(birth or adoption) Extended up to 5 weeks if the child needs Parental leave can begin at any time within
more care 78 weeks after the child is born or placed with
the parent
Parental leave can begin immediately after
maternity leave ends
Leave Respecting 5 days of paid leave and 5 more days The leave is paid based on the average salary
Domestic or Sexual of unpaid leave per calendar year received during the 30 calendar days prior to the
Violence For an employee or child of the employee start of the leave
impacted by this kind of violence
Bereavement Leave 3 days per calendar year Unpaid
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 7Return to the Table of Contents
(continued)
Leave Maximum Length Conditions
Family Responsibility 5 days per employment year (an employment Unpaid
Leave year begins on the date the employee started Cannot be carried over to the following year
work)
Compassionate Care 27 consecutive or separate weeks per calendar Unpaid
Leave year for each family member The employee must get a medical certificate that
states the family member has a serious medical
condition and is at risk of death within 26 weeks
Leave Respecting the 104 weeks in a single period Unpaid
Death of a Child The employee must provide the employer with
a written plan that indicates the weeks in which
they will take the leave
Note: The ESA provides for other job-protected leaves, including for reservists.
Annual Vacation
Employees with 12 consecutive months of employment are entitled to two weeks of vacation. After five years, they get three weeks
of annual vacation. Ordinarily, a vacation entitlement year is a recurring 12-month period beginning on the date of hire.
Minimum Wage
Employee Hourly Rate
Since June 1, 2020 As of June1, 2021
General $14.60 $15.20
Liquor servers $13.95 $15.20
Note: Different standards apply for live-in workers and caretakers in some facilities.
Regular Work Week
A standard work week is 40 hours. Employees who work more than the standard week must be paid a wage with a 50% premium
(time and a half) or double-time. The law provides for some exceptions.
An employee must have at least 32 hours in a row free from work each week, as well as at least eight hours off between shifts.
Statutory Holidays
Most employees are entitled to take statutory holidays off work and be paid statutory holiday pay. Alternatively, the employee
can agree electronically or in writing to work on the holiday and be paid:
• statutory holiday pay plus premium pay for all hours worked and not receive another day off (called a “substitute” holiday);
or
• be paid their regular wages for all hours worked on the public holiday and receive another substitute holiday for which they must
be paid statutory holiday pay. A written agreement must be made between the employee and the employer.
Additional Information
Employment Standards & Workplace Safety
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 8Return to the Table of Contents
Insurance Corporation of British Columbia
6. Automobile Insurance
Drivers in British Columbia must secure insurance coverage through the Insurance Corporation of British Columbia (ICBC).
The basic plan helps drivers, their passengers and members of their household with medical costs, wage loss and more in the
event of an injury in a motor vehicle crash. It is a no-fault insurance plan.
Coverage Terms and Conditions
Third-party Liability $200,000 for any one accident
If a claim involving both bodily injury and property damage reaches this figure, payment for
property damage will be capped at $20,000
$1 million if the other driver is not insured enough
Medical Expenses Up to $300,000 per person
• Hospital care
• Chiropractic or physiotherapy treatments, occupational therapy, etc.
• Medication
• Certain dental care
• Etc.
Funeral Expenses Up to $7,500
If the optional indexation coverage is purchased, this amount may be higher
Disability Benefit 75% of average gross weekly earnings, minus the weekly total of wage loss payments from
all other sources, for up to $740 per week
Benefits are paid for a maximum of 15 weeks
Waiting period: 7 days
Death Benefits
The British Columbia auto insurance plan provides benefits to a surviving spouse and children.
Death of the Insured
Surviving Family Members Lump-Sum Payment
Spouse, no dependents $30,000
Spouse $30,000
One or more dependents $6,000 to each dependent
No spouse, one dependent $30,000
No spouse, one or more dependents $30,000 divided among all dependents
An additional $6,000 to each dependent
Death of a Dependent
Deceased Person Lump-Sum Payment
Dependent child, one surviving parent $3,000
Dependent child, more than one surviving parent $3,000 divided between parents
Dependent parent with a dependent child residing with $3,000 to the child
them and for whom they are financially responsible
Additional Information
Insurance Corporation of British Columbia (ICBC)
SSQ Insurance
2021 Bulletin on British Columbia Social Legislation 9Return to the Table of Contents
7. Canada Pension Plan
The Canada Pension Plan (CPP) retirement pension is a monthly, taxable benefit that provides partial income replacement upon
retirement. Those who qualify receive the CPP retirement pension for the rest of their lives.
Eligibility
• Be at least 60 years old
• Have made at least one valid contribution to the CPP
Contributions
Every person over the age of 18 who works in Canada and earns more than $3,500 per year must contribute to the Canada Pension
Plan. Employees pay half the required contributions and their employer pays the other half. Those who are
self-employed pay 100% of the contribution. At age 70, workers no longer contribute to the CPP, even if they are still working.
The contribution amount is based on employment income. The contribution rate is indexed on January 1 of each year.
Benefits
The standard age to start collecting CPP benefits is 65; however, workers can take a permanently reduced pension as early as age 60.
Contributions entitle you to the following benefits:
• Retirement pension
• Post-retirement benefit
• Disability benefits
• Survivor benefits
The CPP allows pension splitting for married or common-law couples and credit splitting for divorced or separated couples under
certain conditions.
A contributor who wishes to receive benefits must submit an Application.
Overview of CPP Amounts
Basic amounts for 2021
Maximum annual allowable earnings $61,600
Basic exemption $3,500
Contribution rate
Employee and employer 5.45%
Self-employed workers 10.9%
Maximum contribution
Employee and employer $3,166.45
Self-employed workers $6,332.90
Maximum amount for lump-sum payment
Maximum death benefit $2,500
Maximum monthly amounts
Retirement and post-retirement pensions
Retirement pension (at age 65) $1,203.75
Post-retirement benefit $30.09
SSQ Insurance
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Basic amounts for 2021 (continued)
Disability benefit
Disability benefit $1,413.66
Post-retirement disability benefit $510.85
Children of disabled CPP contributor $257.58
Survivor’s pension
Contributor younger than 65 $650.72
Contributor 65 and older $722.25
Children of deceased CPP contributor $257.58
Additional Information
Canada Pension Plan
Employment and Social Development Canada
8. Old Age Security Act
The Old Age Security Act provides for the payment of four benefits in accordance with the following conditions:
Benefit Eligibility
Old Age Security pension (OAS) • Must be a Canadian citizen aged 65 or over
Guaranteed Income Supplement (GIS)
Provides additional income to low-income • Receive the OAS pension
seniors living in Canada • Meet requirements related to income
Allowance (ALW)
Offered to low-income seniors • Must be the spouse or common-law partner of a person who receives the OAS
pension and GIS, or be eligible to receive them
• Must be aged 60 to 64
• Must be a Canadian citizen or a person authorized to reside in Canada at the
time the Allowance application is approved, or had been approved the last time
he or she travelled outside of Canada
• Must have lived in Canada for at least 10 years after turning age 18
Allowance for the Survivor
Additional income for low-income seniors • Must be aged 60 to 64
• Must be a Canadian citizen or a legal resident at the time the application for
the Allowance is approved or have been approved the last time he or she
travelled outside Canada
• Has an annual income below the prescribed limit
• Has a spouse or common-law partner who has died, and has not remarried nor
lived in a common-law union for more than 12 months since
• Must have lived in Canada for at least 10 years after turning age 18
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Payment Amounts
OAS pension and benefit payments are revised on a quarterly basis (January, April, July and October) to reflect the cost of living
increase as measured by the Consumer Price Index (CPI). Payments are made as follows:
Old Age Security pension payments from January to March 2021
Type of Benefit Maximum Income level Income level cut-off for
amount1 cut-off2 top-ups
Old Age Security pension (OAS) 3, 4
$615.37 $129,075 n/a
Guaranteed Income Supplement (GIS)
Single, widowed or divorced $919.12 $18,648 $8,864
Spouse/common-law partner of someone who:
Does not receive the OAS pension $919.12 $44,688 $17,728
Receives the OAS pension $553.28 $24,624 $7,936
Receives the Allowance $553.28 $44,688 $7,936
Allowance 4
$1,168.65 $34,512 $7,936
Allowance for the Survivor $1,393.08 $25,152 $8,864
1
The maximum amount includes top-ups to the GIS and Allowances.
2
The income level cut-offs do not include the OAS pension, the first $5,000 of employment or self-employment income and 50% of employment
or self-employment income between $5,000 and $15,000.
3
The OAS pension repayment range in 2021 is from $79,845 to $129,075.
4
Individuals can defer receiving the OAS pension beyond age 65 in exchange for a higher pension. The monthly OAS pension is increased by 0.6%
for every month it is delayed up to a maximum of 36% at age 70.
Additional Information
Old Age Security pension
British Columbia Ministry of Health
9. Health Insurance
In British Columbia, public health insurance is called the Medical Services Plan (MSP). It provides coverage for essential medical
care for residents of British Columbia.
Eligibility
To qualify for medical coverage under MSP, applicants must meet the following conditions:
• Be Canadian citizens or be lawfully admitted to Canada for permanent residence
• Make BC their primary residence
• Be physically present in BC at least six months per calendar year
All residents of BC must enrol with the Medical Services Plan (MSP).
It is the responsibility of each individual to register themselves and their dependents who reside in the province. Residents enrolled
with the MSP are given a unique lifetime identifier for health care called a Personal Health Number (PHN), which is indicated on
their BC Services Card. They must present this card to receive provincial health insurance coverage.
SSQ Insurance
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Overview of Care and Services Covered by the MSP
Care or services Terms and Conditions
Physician Care or treatment in a clinic or hospital. The services covered include:
• Emergency care
• Out-patient care
• Surgery or a diagnostic test
• In-patient care further to surgery or for chronic illnesses
• Maternity care provided by a physician or midwife
Hospital Services Accommodation in a standard ward
Additional insurance is required to obtain a private or semi-private room
Diagnostic Services Diagnostic services provided at approved diagnostic facilities.
Services must be prescribed by a registered physician, midwife, podiatrist, dental surgeon or
oral surgeon
Optometry • Medically required eye examinations provided by an ophthalmologist or optometrist for adults
(eye-health services) aged 19-64
• Annual eye examinations for children aged 0-18 and seniors aged 65 and older
Dental Care • Dental and oral surgery, when medically required to be performed in hospital
• Orthodontic services related to severe congenital facial abnormalities
Insulin Pumps PharmaCare covers certain insulin pump supplies for those covered under Fair PharmaCare,
and Diabetes Supplies Plan C (BC Income Assistance), Plan F (At Home Program) or Plan W (First Nations Health Benefits).
The program covers:
• Omnipod Insulin Management System. If the Omnipod system is clinically unsuitable, a MiniMed
Insulin Pump System may be covered. A deductible and family maximum apply.
• Insulin pump supplies
Maximum coverage ranges from 70% to 100%, depending on the system and your specific
coverage plan.
Prostheses PharmaCare covers individuals covered under the Fair PharmaCare, Plan B (Residential Care),
Plan C (BC Income Assistance) or Plan F (At Home Program).
PharmaCare covers the lowest cost device that helps you maintain basic function and/or prevents
further deformity.
• Designated, pre-approved prostheses and supplies for eligible patients of any age
• Designated, pre-approved orthoses for eligible patients age 18 or younger
Orthotics or prosthetics must be pre-approved.
Breast prostheses Breast prostheses:
and supplies for • One every 2 years or at the end of the manufacturer’s warranty
the treatment of • Maximum $450 for mastectomy and $350 for lumpectomy
lymphedema following
mastectomy Lymphedema arm sleeves:
• Two per mastectomy, per year
• No pre-approval needed for costs above $400
Gloves or gauntlets for lymphedema arm sleeves:
• Two per mastectomy, per year
• Maximum $150 for off-the-shelf products and $300 for custom-fit products
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A Closer Look at Group Insurance
Keeping employees engaged and healthy
The MSP provides basic coverage for many health care services. Private insurance through a group plan offers more
generous coverage that allows employers to rely on healthy workers. Not to mention that benefits are an excellent way
to stand out as an employer of choice. When it comes to choosing an employer, many workers consider the possibility
of, for example, protecting their children while they are in school, getting coverage for vaccinations and tests that would
not otherwise be covered, or paying a fraction of the fees of other health care professionals with comprehensive health
insurance coverage.
PharmaCare
PharmaCare helps pay for eligible prescription drugs, certain medical supplies, and pharmacy services. To be eligible, applicants
must be actively enrolled in the BC Medical Services Plan.
The program includes several plans, the most common of which is Fair PharmaCare.
Families registered for Fair PharmaCare pay full prescription costs until they meet their deductible during a calendar year based
on their income.
Regular Assistance families earning up to $45,000 per year have lower deductibles and family maximums. For some families, there
is no deductible or family maximum. Enhanced Assistance families (those with members born before 1940) earning up to $14,000
per year have no deductible or family maximum.
Once a family meets the deductible, PharmaCare will pay:
• 70% of the eligible cost of a drug for Regular Assistance families
• 75% for Enhanced Assistance families (those with a member born before 1940) who earn up to $14,000
• 100% of eligible drug costs for the rest of the calendar year once the family maximum is reached
More information: Deductibles and Maximums
A Closer Look at Group Insurance
Anything can happen when you’re travelling! Do you have private
insurance?
The cost of healthcare services is generally higher when outside your province of residence. It is essential to take out
private travel insurance that will cover you in case of illness or accident while travelling. Most group insurance contracts
include travel insurance. In addition to covering the costs associated with obtaining emergency health care that is not
covered by public insurance, this type of insurance is often accompanied by trip cancellation insurance or travel
assistance services.
Additional Information
Medical Services Plan for British Columbia Residents
Ministry of Social Development and Poverty Reduction
10. Income Assistance
BC residents in need and who have no other resources may be eligible for income assistance to cover their basic living and essential
expenses.
This assitance is paid monthly and calculated based on family situation and size. For example, eligible families could get a monthly
benefit of up to:
• $935 for single persons
• $1,427.22 for a couple where both spouse are on assistance and have no children
• $1,270.58 for a single parent with one child
• $1,611.06 for a couple where both spouses are on assistance and have one child
Families receiving income assistance can also get health insurance coverage for care or services that aren’t covered by the public
Medical Services Plan.
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Earnings Exemption
People receiving income assistance can earn income without having their monthly payment reduced. Since January 1, 2021, the
earnings exemption for people on income assistance are:
Family Situation Monthly Exemption
Single person or couples with no children $500
Families with children $750
Families with a child with a disability $900
Single persons or families where at least one adult is in the Persons with $900
Persistent Multiple Barriers category
Additional Information
Income Assistance
11. Tax Impact of Group Insurance
From a fiscal standpoint, some of the group insurance premiums that the employer pays for its employees are considered
work-related taxable benefits. For the employer, these taxable benefits increase the total payroll and as a result, increase the
contributions to various governmental programs. For employees, this increases their income which indirectly creates a tax to pay.
The table below shows the tax impact of the various benefits included in group insurance plans.
Coverage Deductible Expenses1 Employer’s Benefits Taxable for
for Employer Contribution Taxable the Employee
for Employee
Life Yes Yes No
Accidental death and dismemberment,
dismemberment due to illness and critical Yes Yes No
illness
Dependents’ life Yes Yes No
Short term disability Yes No Yes2
Long term disability Yes No Yes2
Health Yes No No
Dental Yes No No
1
Expenses refer to the portion of the premiums paid by the employer for this benefit.
2
If the employer pays any part of the premium, regardless of the amount.
If you have any comments or questions about this Bulletin, please email them to: bulletin@ssq.ca.
The texts presented in this document are the responsibility of the various government bodies that produce them. In the event of
a discrepancy, the original texts in the laws and regulations will take precedence over the information provided in this Bulletin.
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