Montreal, QC (Apr. 21, 2013) – The life and health insurance industry congratulates the committee led by Alban D’Amours on its Report, Innovating for a Sustainable Retirement System, released yesterday. In particular, the industry welcomes the committee’s support for voluntary retirement savings plans (VRSPs) and the recommendation for their speedy introduction.
“Adding VRSPs to the catalogue of retirement savings choices for working Quebecers will be a major step forward in improving the retirement savings landscape in this province,” said Yves Millette, Senior Vice President, Quebec Affairs for the Canadian Life and Health Insurance Association. “This is also an opportunity for small and medium-sized businesses to attract the best employees as they will be able to take advantage of low-cost pension plans now currently only feasible for the largest employers.” Almost 2 million workers (47 per cent) in Quebec are not participating in any type of pension plan at the workplace.
The industry also appreciates the intention expressed by Premier Marois to introduce legislation for VRSPs before May 15 and looks forward to working with the government in bringing the VRSP legislation to fruition.
The Report’s recommendation to delay the requirement to convert RRSPs to RRIFs from age 71 to age 75 is also welcomed by the industry.
The Canadian life and health insurance industry provides a wide range of financial security products, including life insurance, annuities (including RRSPs, RRIFs and pensions) and supplementary health insurance, to almost 27 million Canadians and their dependents. Established in 1894, the CLHIA is a voluntary association whose member companies account for 99 per cent of Canada’s life and health insurance business. Visit www.clhia.ca.