Individual Health and Dental

Why ?     Options

Why ?


Many Canadians are self employed or work in small businesses that do not offer group benefits. Since health and dental costs can be significant and are increasing at a faster pace than inflation, many are looking for a means to budget these costs. The premiums for many of these plans are tax deductible. Those losing their group benefits or retiring may also be interested these plans.



Individual Health and Dental

Individual health and dental coverage is available from several insurers. Most commonly it is comprised of core benefits which cover the services of registered specialists, medical travel emergencies etc. Generally, basic to comprehensive level of prescription medications, vision costs, private or semi private hospital room fees, and dental procedures are added to the base.

Term life, dependant life insurance and AD&D may also be available. Catastrophic medical coverage which requires a large deductible but provides a significantly higher limit and lower premium, may be available as an add-on or as a separate policy.

The premiums paid by self employed persons are tax deductible.

Private Health Services Plan (PHSP)

A PHSP is a CRA approved vehicle that allows corporations and self employed individuals to provide health, dental and vision benefits to their employees and their dependants on a tax free basis while allowing the employer to deduct the costs. A third party administrator is contracted to scrutinize and pay the claims.

Virtually every health, medical, dental and vision service is covered in a PHSP. There is no underwriting so even employees with health problems or pre-existing conditions are covered. Self employed individuals and their spouse are each limited to $1500/yr their dependants qualify for a maximum of $750/yr. Individuals who have incorporated and their dependants enjoy higher limits.