A director of employee benefits at one of Canada’s leading independent financial services companies has a slew of reasons why employers should not drop their dental benefits plans amid a rollout of a federal plan to cover vulnerable Canadians.
Starting from its 2023 budget, Canada planned to invest $13 billion over five years to implement the Canadian Dental Care Plan (CDCP). Since its launch on May 1, the CDCP has begun covering seniors aged 70 and older, with recent expansions in late June to include adults with a valid disability tax credit certificate and children under 18. The plan aims to progressively extend coverage to all eligible Canadians by 2025.
Benefits Canada reported that Capcorp Financial director of employee benefits Graham Young advises employers to think twice before dropping dental coverage from their benefits plan following the launch of the national dental care program.
Here are his reasons:
1- Uncertainty of Employees’ Household Income
Young says employers don’t have accurate information about their employees’ total household income, which affects their CDCP eligibility.
2- Plan Facing Hurdles Nationwide
The CDCP has a few hurdles to clear before being fully implemented across the country in 2025, says Young. For instance, some provinces, like Alberta, may resist participation.
3- Not All Dentists Are Onboard
Many dentists have not signed up for the program due to the reduced fee guide and potential complications with copayments, which could affect employees’ access to their preferred dentists.
4- Majority of Employees Won’t Be Eligible
During the plan’s rollout, many Canadians mistakenly thought they had access to free dental care, Young said. However, he reiterated that they need to understand that they may not qualify for the free program because of their family income bracket.
5- Not Even Low-Income Workers Are All Guaranteed
For Young, industries with low-income workers, such as fast food chains, will benefit most from the national plan — if more dentists sign on.
Original article found on Benefits Canada.
Source link