There are FIVE
basic features in a benefit package. When you leave your full time
employer, these are what you give up.
1. Extended Health Care
- Coverage that provides: vision care, home support services,
ambulance service, registered specialist therapy, hearing aids,
private or semi-private hospital rooms, dental & prescriptions.
Coverage designed to pay you a daily or monthly benefit from day 1
should you become disabled due to sickness or accident.
3. Long-Term Disability
- Coverage designed to pay you a monthly benefit should you become
disabled due to sickness or accident. Payments usually begin after
30, 60, or 90 days of total or partial disability. These payments
can continue as long as you are disabled to age 65 or beyond.
4. Life Insurance
- Coverage usually payable in a lump sum to the beneficiary of your
choice should you die while the coverage is in force. Coverage and
premium paid will vary based on the amount and type of coverage you
5. Out of Country
Coverage designed to cover your medical costs should you become sick
or injured while travelling outside of the province or Canada.
Here are the top five
questions we are often asked when we meet our clients.
If you where happy with the coverage that you had at your previous
employer then you should replace it apples for apples. What most
people do not realize is that they can make their benefits as
comprehensive as they want
by purchasing their own coverage
Q.2. How much of
this coverage should I have?
One of the advantages of being self-employed is that you can design
your benefits to exactly meet your needs. Of utmost importance you
must have flexibility in altering your plan as you grow in your
profession and as your lifestyle changes. You can even build your
plan by gradually purchasing only the most important components
Q.3. Can my spouse’s
plan cover me for some of this?
A spouses group plan, depending upon its comprehensiveness, usually
will have some coverage extended to the other spouse. This can
include any or all of the following, extended health care, dental,
prescriptions, vision care, and hospital accommodation. There is
usually a small amount of spousal and dependent life insurance
included. However there is NEVER short-term and
long-term disability coverage extended to the spouse or other family
Q.4. How much is
this going to cost?
The cost of your benefits will depend on a variety of factors. Some
of which require answers to the following questions. Would you like
family or single coverage? Do you want dental and prescriptions or
just dental? How comprehensive and how much disability coverage do
you want? How long do you want your life insurance in force? As you
can see the cost is dependent upon a myriad of items. You can make
your benefits as expensive or inexpensive as you would like.
Q.5. Is the premium
You are allowed to deduct, as an expense, traditionally the premiums
for extended health care, dental, prescription coverage. Disability
premiums are usually not deductible because the benefit is paid to
you tax free. However, you and your accountant should discuss how
aggressive or conservative you want to be in your tax reporting.
Q.6. How quickly can I
get my benefits?
You can get your
extended health care, dental, and prescription coverage on the first
of the month after the month in which you are approved. Your
disability and life insurance coverage can be made effective
immediately should you choose.
What is your first step
in getting a customized and portable benefits package designed?
In order for you to
make an educated decision about your benefits, we suggest you go
through our needs analysis interview. This will pinpoint the
appropriate levels of coverage you should have. The Consultant’s
Insurance Consultants can help you make the right decisions based
on our experience dealing with thousands of self-employed IT
Jeffery Dorland & Alec
90 Burnhamthorpe Road
(905) 276-5505 1
Fax (905) 270-1177
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