E M P L O Y E EBenef i tnewsI N S I D E

The Script4

Canada Pension Plan/Quebec Pension Plan

4

2003 Dental Fees5

Employment Insurancepremium rates

5

Update on the future ofhealth care in Canada

6

e Benefit News7

Legislative update 8

Smoking in CanadaHe’s been smoking for more than twenty

years. Each day, within half an hour of

rising from bed, he lights up his first

cigarette. Over the course of the day he’ll

consume another 15 or so, and at the present

time, he’s not taking any steps to quit. Oh

yes, there’s an excellent chance that he’s a

member of your group benefits plan.

It’s true the average Canadian smoker is well

established in the habit, and currently not

making any serious effort to quit, but there is

room for optimism. The annual Canadian

Tobacco Use Monitoring Survey gives

legislators, health care professionals and

sponsors of group benefits plans reason to

believe efforts to reduce the prevalence of

smoking in Canada are working.

Fewer smokers takingfewer breaksThe Canadian Tobacco Use Monitoring

Survey (CTUMS) for 2001 shows the

number of smokers is gradually decreasing.

The survey found 22 percent of the

population aged 15 years and older – a total

QUARTERLY

Volume 10 • Issue 1

First Quarter 2003

see Smoking in Canada on page 2

Help plan members

break free

2

of 5.4 million Canadians – identify

themselves as smokers (24 percent are

former smokers and 54 percent have never

smoked at all). This compares to 24 percent

in 2000, and 25 percent in 1999.

Furthermore, this decrease in the total

number of people smoking is matched by

a decrease in the number of cigarettes

(or equivalent products) being consumed

per person.

The production and sale of tobacco products

in Canada are monitored by Statistics

Canada. Comparing the first ten months of

2002 to the same period in 2001, tobacco

sales fell from 39.9 billion cigarettes to

37 billion. This represents a decrease of

more than 8 percent in year-to-year per

capita tobacco consumption and a 17 percent

reduction since 1999, bringing smoking to its

lowest level in 50 years.

Comparing smoker to smoker, the

CTUMS found men still smoke more than

women. Men consume an average of

17.1 cigarettes per day, while females smoke

an average of 15 each day. By age group,

men 55 years and over consume the largest

number of cigarettes per day (19.9), followed

by men in the 35 to 44 and 45 to 54 age

groups (18 per day) and women 35 to 44

(17.8 per day).

Smoking in Canada continued from page 1

The declining numbers are very encouraging,

but with more than one in five Canadians

still in the habit of lighting up, there’s plenty

of work to be done to help smokers kick the

habit. Smoking continues to be the leading

cause of preventable death in Canada and

smoking-related disease and illness take the

lives of 45,000 Canadians each year.

Consider that smoking kills five times the

number of people that die each year as a

result of car accidents, murder, suicide and

alcohol abuse combined.

Who’s quitting, and who’s not?The youngest plan members (under 24 years

of age) are the people most at risk for taking

up smoking. Eighty-five percent of smokers

start the habit before the age of 18 and studies

indicate that the earlier a smoker starts, the

more difficult it is for a

smoker to quit.

Regardless of age, the

factors that motivate

smokers to break the

nicotine addiction are the

same. The reason most

often given is concern for

the effects that smoking

will have on a smoker’s

own personal health in

the future, followed by

concerns for his or her

present health. It’s

significant that the health

of another family

member (including a new

or unborn baby) is a

reason given “relatively rarely” (only 7

percent of the time). This may indicate the

dangers of second-hand smoke are not yet

widely understood or appreciated.

Breaking free is hard to doIt takes an average of 3.4 attempts before

smokers are able to successfully break the

habit. But when those who are able to quit

after just one attempt are removed from the

equation, the average increases to 6.1

attempts. So it’s significant for would-be

quitters to make a good, solid first effort.

Of those who did quit, 59 percent used no

formal assistance to quit, leaving us to

wonder: if we can encourage greater use of

organized smoking cessation programs, can

the number of attempts required be reduced?

Anne Marie Ramsay thinks so. Ms. Ramsay

is a Public Health Nurse and coordinator of a

smoking cessation program for parents and

parents-to-be who are between the ages of 14

and 24. The program, an initiative of the

Region of Waterloo Public Health, is called

“Kick Butt for Two” and takes the form of a

six-week support group. Ramsay says, “Any

kind of positive social support will help a

smoker in his or her effort to quit. Things

like a smoke-free home, a smoke-free work

environment, smoke-free restaurants and

bars, a quit-buddy and a support group will

offer the different levels of encouragement

that the quitter needs.” Ramsay adds that

smokers need to know what to look for in a

support person, “It doesn’t have to be a non-

smoker, but it does need to be someone

supportive, who will respect the efforts

you’re making and be a positive influence in

your attempt to quit.”

Many smokers say having more personal

willpower would help them break the habit,

but that’s not something that can be bought

at the local grocer. Fortunately, there are

plenty of other forms of assistance available.

Doctors, dentists, nurses, pharmacists,

psychologists and counsellors can all offer

advice and guidance.

Retired nurse and former smoker Caroline

Parks is an expert on the subject of smoking

cessation. Through her firm, Hope

Consulting, and as a volunteer with a

community-based support group called

Smoker’s Anonymous, Ms. Parks uses positive

motivation to help smokers quit. Parks says,

“Only a smoker can understand the mind of a

smoker. You have to help them change the

way they think and take away the sense of

powerlessness that they have about their

5000

4500

4000

3500

3000

2500

2000

1500

1000

500

1980

1983

1986

1989

1992

1995

1998

2001

0

Sticks per year

Per capita consumption of cigarettes and equivalents(such as roll-your-own cigarettes) by Canadians age

15 and over from 1980 to 2002.

3

addiction.” Her strategy is to get smokers

enthused about the possibility of a tobacco-

free life, rather than terrified about what will

happen if they don’t quit. Parks believes any

investment plan sponsors make to help their

employees quit will be returned many times

over, “One employee who is successful will

influence and encourage another who never

believed he or she could do it. It has a

domino effect.” Parks says, “Employers have

to be visionary and look at the benefits to be

achieved down the road in terms of

productivity and health care costs. And don’t

forget, you’re saving a life.”

Callers to the Canadian Cancer Society

(1-888-939-3333) can request up to five free

copies of One Step At A Time, a series of

booklets written for smokers at each stage in

the quitting process. Titles include For

smokers who don’t want to quit, For smokers

who want to quit and If you want to help a

smoker quit.

To quit smoking, a person needs to break both

her chemical addiction to nicotine, and her

psychological dependency on the activities

that accompany smoking. Along with a

program and support group, nicotine

replacement products may have a role to play.

These products control the body’s craving for

nicotine while the smoker changes his or her

personal habits and routines. Some nicotine

replacements (such as patches and gum) are

available over-the-counter from a pharmacist,

while others need a prescription from a doctor.

For most people, it’s difficult to quit smoking

and there are bound to be setbacks. But

every attempt to quit brings your plan

member one step closer to his goal. Plan

sponsors can help by providing a smoke-free

work environment that encourages individuals

in their attempts, and severely restricts or

completely eliminates smoking on-site.

Smokers admit that it’s easier to quit when

it’s harder to smoke. You might consider

inviting a local organization to conduct on-

site seminars, or start a lunch hour support

group. Plan members

spend a lot of time at work,

so they need just as much

support from their

employers as they need

from their families as they

struggle to break their

tobacco dependency.

As Caroline Parks is fond

of telling her support group

members, “United we

stand, divided we smoke.”

100%

80%

60%

40%

20%

0%

Willpower alone

Nicotine patch

Nicotine gum

Reduced consumption

Medication

How did you quit?

He quit. She quit. eQuit.It’s not news that people are often unsuccessful in

their first attempt to quit smoking. In fact, it’s not

unusual for a smoker to make numerous attempts

before they are able to give up the habit for good.

With that in mind, it’s important for smokers to receive

all the support they can get, both at home and on-the-

job, when trying to break their dependency on

tobacco.

One novel support network now available to smokers

is Health Canada’s eQuit Web site at www.hc-sc.gc.ca/

hecs-sesc/tobacco/quitting/e-quit/index.html. eQuit

is an electronic message service designed to

encourage and support a smoker through the difficult

first days of smoke-free living.

Once registered, aspiring non-smokers begin receiving

daily e-mail reminders guiding them to their first

milestone, an official quitting date scheduled 11 days

from enrolment. The messages continue for another

19 days, keeping the participant on-track to achieve

his or her goal. Of course, the Web site also contains

information and research that make the case for a

tobacco-free life, as well as links and contact

information for additional smoking cessation

resources, support groups and counselling services

across Canada.

For a more visually compelling eQuit experience,

smokers can visit “You and Me, Smokefree” at

www.hc-sc.gc.ca/hecs-sesc/tobacco/youth/

index.html. Designed with youth in mind, the site

contains slick interactive tools that illustrate, for

instance, the personal financial cost of smoking.

The site contains a link to Quit4Life, an interactive

area where visitors can follow the story of four

different young people faced with the challenge of

kicking the habit.

Obviously, e-mail messages aren’t intended to replace

a medical professional, and Web sites can’t supply the

discipline or desire necessary to break the habit or

beat the addiction, but they can provide a valuable

source of information and support to those who are

determined to break free from tobacco.

Sources: Health Canada; The Third National Conference on

Tobacco or Health; Canadian Tobacco Use Monitoring Survey;

The National Population Health Survey (1994/1995); The

College of Family Physicians of Canada; Statistics Canada,

The Daily, catalogue number 11-001-XIE, (November 27, 2002).

When the going getstough, call the Helpline. The Smokers’ Helpline understands what a

person who’s trying to quit smoking goes

through. This Canadian Cancer Society

program provides information, advice,

encouragement and support to help a smoker

resist the temptation. There’s also information

tailored for the family, friends and employers

of smokers who want to quit.

For free, confidential advice from a trained

Quit Specialist, call the Smokers’ Helpline:

Prince Edward Island, New Brunswick,

Nova Scotia, Ontario 1-877-513-5333

Quebec 1-888-853-6666

British Columbia 1-877-455-2233

Figures do not add to 100% due to rounding.

4

Canada Pension Plan /Quebec Pension Plan

2003 rates and benefitsThe rates for the Canada Pension Plan (CPP) and Quebec Pension Plan (QPP) were adjusted as

of January 2003. This chart compares rates and benefits for 2003 with those for 2002.

Summary of Canada/Quebec Pension Plan Figures 2002 2003

Yearly Maximum Pensionable Earnings $39,100 $39,900

Yearly Basic Exemption $3,500 $3,500

Employee/Employer Contribution Rate:

CPP 4.7% 4.95%

QPP 4.7% 4.95%

Maximum Employee/Employer Contribution/Year:

CPP $1,673.20 $1,801.80

QPP $1,673.20 $1,801.80

Maximum Monthly Disability Benefit:

Contributor: CPP $956.05 $971.26

QPP $956.02 $971.23

Child: CPP $183.77 $186.71

QPP $58.35 $59.28

Maximum Monthly Retirement Benefit (at age 65):

CPP $788.75 $801.25

QPP $788.75 $801.25

Death Benefit:

CPP $2,500 $2,500

QPP $2,500 $2,500

Maximum Monthly Survivor’s Pension:

CPP: Under Age 65 $437.99 $444.96

Age 65 and Over $473.25 $480.75

QPP: Under Age 45

• Without dependent children and not disabled $389.13 $395.31

• With dependent children and not disabled $634.18 $644.28

• Disabled, with or without dependent children $660.24 $670.76

Age 45 - 54 $660.24 670.76

Age 55 - 64 $695.37 $700.06

Age 65 and over $473.25 $480.75

Cost of Living Adjustment 3.0% 1.6%

The ScriptPlan members are valuable alliesPlan sponsors looking for an ally in their efforts to

get the best value from their drug plans need look

no further than their own plan members. After all,

plan members are the front line consumers of the

benefits that a drug plan provides, so it’s wise to

remind them of their roles and responsibilities.

As with any consumer decision, plan members

need to be active participants when purchasing

health care products and services. This means

getting involved and asking questions of their

doctors and pharmacists: how effective is the

proposed treatment? Is the drug safe? Are there

side effects? Are there any equally effective but

less expensive medications available? Is the

medication covered by my plan? What’s your

dispensing fee? What’s the final drug cost?

(Dispensing fees and drug pricing can vary from

pharmacy to pharmacy.)

Plan design can help engage plan members in the

prescription purchasing process. Making the plan

member responsible for paying a portion of each

prescription, such as a deductible that’s equal to

the dispensing fee, is one effective approach. This

encourages plan members to become wise

consumers in order to reduce their portion of the

cost.

Introducing a percentage co-payment plan is a

cost-sharing option that makes the plan member

responsible for a certain percentage of each

prescription’s price. This approach provides an

incentive to find the best value, while also

illustrating the partnership between plan member

and plan sponsor, each time a prescription is filled

and paid for.

Analysis of Manulife Financial electronic drug

claims processed by ESI Canada shows the average

individual fills 6.1 prescriptions per year at a total

annual cost of $256.43. When you consider the

combined costs for a family of four, prescriptions

become equivalent to a major family purchase—

like furniture or an appliance. With the expanding

role of prescription drugs in our health care

system, it’s in plan members’ best interest to

partner with plan sponsors and spend some time

thinking about how they can be wise and careful

consumers of the benefits they enjoy.

5

2003 Dental fee increasesMost provinces and territories have released their 2003 Suggested Fee GuidesThis chart summarizes the average dental fee increases by province/territory.

Average Increase Effective Date

Alberta 3.76% February 1, 2003

British Columbia 3.29% February 1, 2003

Manitoba 3.28% January 1, 2003

Newfoundland 3.9% January 1, 2003

New Brunswick 3.0% January 1, 2003

Nova Scotia 3.91% February 1, 2003

Ontario 3.0% January 1, 2003

Prince Edward Island 2.9% January 1, 2003

Quebec 2.5% January 1, 2003

Saskatchewan 4.09% January 1, 2003

Northwest Territories Not available Expected March, 2003

Nunavut Not available Expected March, 2003

Yukon Not available Expected April, 2003

EmploymentInsurancepremiumratesreduced2003 updateHuman Resources and Development

Canada (HRDC) has reduced EI premium

rates for 2003. Employees will pay $2.10

per $100 of insurable earnings – down

from $2.20 in 2002—while employers pay

$2.94 per $100 of insurable earnings—

reduced from $3.08 in 2002.

Maximum annual insurable earnings for

2003 remain at the 2000 levels of

$39,000. The maximum benefit payable

continues to be $413 per week.

Since there is no change to the EI

maximum insurable earnings/benefits for

2003, Weekly Income plans that are linked

to the EI benefits/insurable earnings will

not require benefit adjustments in 2003.

Summary of EI Figures 2002 2003

Maximum Yearly Insurable Earnings $39,000.00 $39,000.00

Maximum Weekly Benefit $413.00 $413.00

Employee Contribution• Rate per $100 of Insurable Earnings $2.20 $2.10• Maximum Annual Contribution $858.00 $819.00

Employer Contribution (Without a Registered WI plan)• Rate per $100 of Insurable Earnings $3.08 $2.94• Maximum Annual Contribution $1,201.20 $1,147.00

Employer Contribution (With a Registered WI plan)• Rate per $100 of Insurable Earnings $2.78 $2.64• Maximum Annual Contribution $1,084.20 $1,030.00

EI savings per employee for employer with a registered WI plan* $117.00 $117.00

*The reduced premium amount applicable to an employer may differ from the numbers shown here, depending on plan design or type of arrangement (for example, sick leave, salary continuation). Plan sponsors can obtain this information through the EI Premium Reduction Program. Visit the EI Web sitewww.hrdc-drhc.gc.ca or contact your local EI office.

6

Roy Romanow’sprescription for drugs

Last June, Employee Benefit News

reported on the interim report made by

the Commission on the Future of Health

Care in Canada, commonly referred to as the

Romanow Commission (see EBN second

quarter 2002, available online at

www.manulife.ca/groupbenefits under

“Newsletters”). In late November,

Commissioner Roy Romanow tabled his

final report entitled Building on Values: The

Future of Health Care in Canada. This

concluded the Commission’s mandate, begun

in April 2001, to “engage Canadians in a

national dialogue on the future of health care

and to make recommendations to preserve

the long-term sustainability of Canada’s

universally accessible, publicly funded

health care system.”

Following the release of Romanow’s final

report, Prime Minister Chrétien told

supporters his government would move

quickly to respond to the report’s 47

recommendations, some of which could

eventually affect group benefits plans. This

update looks at Mr. Romanow’s

recommendations on prescription drugs.

Many people were watching carefully to see

what the report would offer on the subject of

drugs and drug plans, an area that could

change the role currently played by group

benefits plans.

Romanow acknowledged the importance and

necessity of prescription drugs in the health

care system, but stopped short of calling for

Update on the future of health care in Canada

a national pharmacare program at this time.

Instead, for the immediate future, the report

recommends steps that Romanow says will

“lay the groundwork for the ultimate

objective of bringing prescription drugs

under the Canada Health Act.”

Protectingthe publicRomanow’s

recommendations

include an annual

transfer to the

provinces of $1

billion to help

fund catastrophic

drug costs. This

money would pay

for 50 percent of

a provincial/

territorial drug

plan’s cost when

any individual’s

expenses exceed

the threshold of

$1,500 per person,

per year.

Romanow says,

“too many

Canadians have no drug coverage at all, and

existing provincial drug insurance coverage

is uneven.” The Commission found that

people who need more drugs also need drugs

that are more expensive, so new coverage

would assist those Canadian families who

look to provincial/territorial plans for

coverage and make sure they do not face

extreme financial hardship due to illness or

geographic location. The provincial money

released by the federal transfer is intended to

create new coverage by expanding provincial

drug plans, lowering co-payments or

deductibles and/or bringing more people into

the plans. There is no immediate benefit to

private plan sponsors under the proposal.

Working together tocontrol costsThe Romanow Commission looked for ways

to control the rising cost of prescription

drugs, something plan sponsors are all too

familiar with. In his final report, Romanow

says the current system is inefficient, with

each provincial drug plan often duplicating

work and effort. To correct this, he urges the

creation of a single, independent National

Drug Agency. This agency would “evaluate

new and existing drugs, and ensure quality,

The final report Building on Values: The Future of Health Care in

Canada is available online at www.healthcarecommission.ca.

You can print and read the entire 357-page report, or pick and choose

individual chapters.

7

appropriateness of drugs, as well as helping

to ensure that patients take their medications

properly.

Balancing patentprotection and publicaccessRoy Romanow wants to pry the door open a

little in the area of patent protection for

name brand drugs. His report encourages the

government to take a close look at the way

drug patents are renewed to ensure lower

cost alternatives are available to Canadians

as soon as patent protection expires. Under

current legislation, name brand drug patents

can be extended if the manufacturer makes a

variation to the existing drug, a process that

delays access to generic versions of the drug

in question. He also wants the government

to look at how patent disputes are settled,

suggesting the responsibility to prove

infringement should rest with the name

brand manufacturer.

If all of these recommendations are

implemented as described, plan sponsors can

look forward to paying a smaller share of

plan members’ drug costs as the public

system evolves and assumes a larger portion

of the expense. However, the Romanow

report is only the latest in a series of studies

that have examined the options available to

Canadians and their health care system.

It’s now up to federal and provincial

governments to begin assessing the options

and building a plan that truly does protect

and sustain the future of health care

in Canada.

e Benefit News Understanding e-services

In the last edition, we discussed the advantages of

processing member eligibility updates on an

insurance company’s secure Web site. (Find it online

at www.manulife.ca/groupbenefits under

“Newsletters.”) This time, we turn our attention to

the advantages of providing online booklets for plan

members, and online contracts and booklets for plan

administrators.

Putting contracts and booklets online makes these

items easy to find, and reduces the need to keep

paper versions within arm’s reach. Hardcopies of

these documents can be large and take up

significant shelf, drawer or briefcase space,

particularly in cases where a plan includes multiple

contracts or divisions. For plan members, the

booklet is apt to be an item distributed at enrolment

and then filed and forgotten. Later, when it’s

required, the first task for a member may be tracking

down the booklet’s whereabouts.

Using online materials makes it easier to provide

and reference the most current version. When a plan

is amended, both the contract and booklet can be

updated and delivered automatically. This

eliminates the time required to print, assemble and

distribute revised plan materials, ensuring that

administrators and members have current versions

promptly after a change is made.

The electronic search capability is a user-friendly

feature unique to booklets in the online format.

Using a key-word search, the reader can find a

specific topic quickly, without paging and scanning

through text. When the information is found and on-

screen, the member or administrator can simply

print the page required. In addition, online materials

can be designed to include electronic links to forms

and other relevant documents. For example, the

health benefits section of an online benefits booklet

can offer a direct link to the health claim form, since

it’s likely the member reviewing that page is

preparing to submit a claim.

Online contracts and booklets put answers into the

hands of plan administrators and members when

those answers are required. And for plan

administrators, there’s one final advantage—every

answer an individual member finds on his or her own

represents one less question the administrator

needs to answer.

safety and cost-effectiveness of all

prescription drugs on behalf of all

governments and all Canadians.” The

benefits of adopting a national approach to

pharmacy management include increased

sharing of expertise and information between

provinces, a streamlined drug evaluation and

approval process, and the creation of a

strong, united front in the effort to influence

and contain rising drug costs.

Romanow sees the National Drug Agency’s

ability to influence drug prices increasing

with the creation of a national prescription

drug formulary, something he wants

completed by 2005/2006. Today, each

provincial and territorial drug plan decides

which drugs it will or will not cover. A

nation-wide list of covered drugs is just one

of the benefits that would result from the

creation of a National Drug Agency. This

would give rise to equal access in each

province plus give the National Drug Agency

added clout negotiating prices with

pharmaceutical companies.

Once a national drug formulary is in place,

the report envisions greater potential to link

medication management and primary heath

care. This means people with chronic or

life-threatening illnesses would benefit from

a “health management approach” in which

their conditions are monitored by teams of

health care providers including doctors,

nurses, dieticians, pharmacists and

counsellors, all working together.

Pharmacists, in particular, would play

an expanded role, consulting with patients

and physicians on the effectiveness and

The federal government doesn’t currently regulate the price of generic

drugs, and the Romanow Commission says generics in Canada cost

more than the median prices paid in other countries. The proposed

National Drug Agency would be responsible for negotiating, analyzing

and monitoring the price of both name brands and generics.

Source: The Commission on the Future of Health Care in Canada

SaskatchewanPharmacare

Saskatchewan residents are no longerautomatically covered under the province’s

prescription drug plan. Changes that came intoeffect July 1, 2002 require residents to applyfor assistance under the SaskatchewanPharmacare Special Support Program if theirdrug costs exceed 3.4 percent of their adjustedfamily income. (Prior to July 1, 2002, allresidents had automatic coverage under theSaskatchewan drug plan. The province paid a65 percent coinsurance for drug expenses inexcess of the $850.00 semi-annual deductible.)

Manulife Financial will introduce new claimsthresholds to ensure proper coordination ofclaims payments between private groupbenefits plans and Saskatchewan Pharmacare.

BC PharmacareBritish Columbia has delayed plans tointroduce income testing in the province’suniversal prescription drug program. At thistime, the revised effective date is unknown;however, the B.C. government appears toremain committed to proceeding with incometesting.

Manulife Financial is examining the impact ofthe proposed changes, but it’s impossible tomake a complete analysis without details of thelegislation or the effective date.

Ontario Drug BenefitAs of November 14, 2002, a new, 30-daymaximum limit will apply to all first timeprescriptions dispensed to Ontario DrugBenefit (ODB) recipients.

The 30-day limit applies to any prescription thepatient has not taken in the last 12-months.This process will ensure the patient can toleratethe new medication, and that the medication is

helpful in treating the condition, beforea long-term supply is dispensed.Following the initial supply period, therest of the prescription will bedispensed up to the maximum 100 dayssupply. All subsequent prescriptions

Please Note:Employee Benefit News is published to provide

information about current issues and assist in

the decision-making process. Our articles

however, are not intended to provide medical,

financial or legal advice and any queries you

may have should be directed to an appropriate

professional advisor.

For further benefit information,

please call your usual Manulife Financial

contacts.

Employee Benefit News is published by:

Manulife Financial

Group Benefits

380 Weber Street North

Waterloo, Ontario N2J 4V7

Please send your comments and

suggestions to the EBN editor,

by fax: (519) 883-0406, or use the

“contact editor” feature on our Web site.

Extra! Extra?

Plan sponsors and advisors can download

additional copies of this Employee Benefit

News or previous issues from the

Employee Benefit News pages on

Manulife Financial’s Web site at

www.manulife.ca/groupbenefits.

Additional copies of this or previous issues

are also available in hardcopy. Fax requests

to (800) 230-2520.

Ce bulletin estégalement publié en français.

E M P L O Y E EBenef i tnews

Manulife Financial’s Group

Benefits Web site at

www.manulife.ca/groupbenefits

provides information about group

products and services, industry and

legislative issues and our Regional

Group Offices.

Canadian Publications Mail Agreement 1460501

GCQ103E(03/2003)

The Manufacturers Life Insurance Company

Legislative updatewill be filled based on the days supply writtenby the doctor.

The second dispensing fee required to fill theinitial prescription may affect group benefitsplans covering members or retirees who:

• are over 65 years of age

• have claim payments coordinated with theOntario Drug Benefit plan, and

• have plans that pay for extended days supply(90 or 100 days) on a single prescription.

However, the impact should be minimal sincefirst time prescriptions are the only onesaffected.

Quebec Bill 143Except for a few specific sections of the Act,Bill 143 (An Act to amend the Act respectinglabour standards and other legislativeprovisions) will come into effect in Quebec onMay 1, 2003. The bill amends employmentstandards in the province, increasing the periodof time employees can be absent from work dueto illness or accident from 17 to 26 weeks. Forabsences due to family obligations, the length oftime increases from 5 days to 10. In addition,workers will be entitled to up to 12 weeks ofleave of absence to care for a close relativebecause of accident or illness.

During such a leave of absence, the employee’sgroup insurance (and pension) plan coveragewill be continued by the employer, provided theemployee also continues to make his or hercontributions.

The bill also establishes specific notice periodsin case of mass layoff and restricts a plansponsor’s ability to alter the group insuranceplan during the mass layoff notice periodwithout the express written consent of either theplan members affected or the certifiedassociation representing the plan membersaffected.

A portion of Bill 143 introduces complaint andrecourse procedures for employees claimingpsychological harassment. This section of thebill is expected to become effective on June 1,2004.