Mental health supports, digital delivery of services, and strategic plan design to keep benefit plans affordable
Mental health supports, digital delivery of services, and strategic plan design to keep benefit plans affordable will be key trends in group benefits in 2022 say Stephen Frank, President and CEO of the Canadian Life and Health Insurance Association and Mark Sylvia, President and CEO of Empire Life.
The two shared their insights in a recent advisor webinar on industry trends and the impact of the COVID-19 pandemic.
“Mental health has been brought to the forefront during the pandemic and the demand for mental health services for Canadians is only going to increase,” says Mr. Sylvia. “Insurance companies have put programs in place to provide access to mental health counselling supports and services which often can now be provided online, making them more accessible. People are more aware of and value these types of services in their benefits plans now.”
Mr. Frank talked about the impact of COVID-19 on the industry. “We’ve just experienced a once in a 100-year health crisis, and group health benefits have come through that extremely well. It demonstrates how resilient and well-prepared the industry was to support employers and Canadians through this pandemic.”
“There was a lot of concern at the outset about layoffs and what will happen to benefits plans, but we found employers were very protective of those benefits—they recognized the value in them and took steps to protect them”, says Mr. Frank. “At the same, our industry stepped up to roll out premium reductions and deferrals to put money back in the pockets of employers and to help keep those plans and benefits in place for Canadians.”
Pharmacare, specialty drugs LTD
The two leaders also discussed national pharmacare, saying that government and insurers need to work together to negotiate lower drug prices for all Canadians and achieve a balance between public and private sector healthcare and not jeopardize what is working well today.
Another concerning trend for 2022 is affordability of benefit plans due to the high cost of specialty drugs, increase in Long-Term Disability claims and mental health services.
On the plus side, benefits are now top of mind amongst employers. An attractive group benefits plan may be a key differentiator in helping employers help attract and retain in a hot job market in 2022.
