The Canadian Life & Health Insurance Association (CLHIA) has made a submission to the British Columbia Select Standing Committee on Finance and Government Services, asking the government to pay attention to the national discussion on pharmacare and what it might mean to group benefits plans in the province and the country. The submission also lobbies for the ability to have automatic features, including automatic enrollment and contributions at preset or started rates and automatic annual contribution escalation for those in workplace pension and savings plans.
The submission also encourages British Columbia to work with the federal government to harmonize provincial pension legislation, removing the differences that prevent efficient administration of Pooled Retirement Pension Plans across jurisdictions.
Like other submissions made to other provinces, the CLHIA also encourages the government to see the industry as a stable and long-term investment partner, eager to invest in long-term infrastructure projects. “The nature of the Canadian life and health insurance products – routinely lasting more than 50 years – results in predictable, long-term liabilities. As such, life insurers are ideal financial partners for long-term infrastructure projects including public-private partnerships, as they can commit to long-term financing,” they write. “This inherent structural advantage makes the industry an important and stable investor in long-term assets.”
Finally, they point out that British Columbia imposes a two per cent tax on life, health and disability insurance premiums, and encourages the government to develop a tangible plan for eventually eliminating premium-based taxes. “Discouraging individual responsibility for these benefits by taxing the purchase of insurance coverage is not good public policy,” they state.
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Association continues cross-country effort to rally governments to the industry’s causes
