Things to remember

For businesses that use the Create a report function of Report generator, you can create a monthly premiums report to reconcile your insurer’s invoice; see Producing a monthly premiums report.

Things to remember

Definition of fields :

▪Protections: Indicates the protection code and its description.

▪Type: Indicates the type of coverage associated with the protection code (Individual, family, exempt, couple, single parent, etc.)

▪Plan: indicates the plan code associated with the protection code.

▪Province of residence: Indicates the province of residence when various rates are applied to premium calculations according to the province of residence. This field stays empty if premium calculations are identical for the provinces.

▪Effective date: Indicates the date of creation or modification of the allocation group. This date enables the system to select the appropriate calculation table for a coverage premium.

▪Age: Indicates the age limit range associated with the protection code.

▪No. weeks to subtract: Indicates the number of weeks to subtract from the age limit range in order for the premium to be applied.

▪Company: Indicates the company for which the premium exists.

Things to remember

Definition of fields:

▪Taxable benefits earnings: Indicates if a taxable benefits earnings calculation is linked to the protection code. If this is the case, the protection code will display to the right of the relevant field - Federal, Provincial, and Outside Quebec.

▪Yearly insurable amount: Indicates the minimum and maximum for the yearly insurable amount considered for calculating the coverage. This amount is converted the week the coverage is calculated.

▪Pensionable earnings: Indicates the data linked to the pensionable earnings.

oCalculation method: Determines the pensionable earnings for calculating the premium. The possible values are:

-“Coverage”: Calculates the premium according to the amount entered;

-“Plan schedule”: Calculates the pensionable earnings based on the type of plan schedule. The possible types are:

Stable schedule plan type: Calculation of the coverage is based on the hours entered in the employee’s employment profile.

Unstable schedule plan type: Calculation of the coverage is based on the payroll according to pensionable earnings (according to matrices).

-“Standard hours”: Calculates pensionable earnings according to the standard hours entered in the employee’s group insurance file. These hours are multiplied by the hourly rate entered in the employee’s employment profile.

-“Payroll”: Calculates pensionable earnings according to payroll eligible earnings (according to the pay code matrix).

-“Estimated salary”: Calculates pensionable earnings according to the overall estimated salary (Estimated salary field under the Basic information) or detailed estimated salary (Estimated salary field under the Protections for effective date yyyy/mm/dd) entered in the employee’s group insurance file. An amount must be entered in one of the previously mentioned fields to obtain the premium calculation.

oCalculation base: Indicates the basis on which the pensionable earnings are calculated. The possible values are:

–“Annual”: The calculation is annual (salary* frequency of salary calculation)

–“Monthly”: The calculation is monthly (salary* payroll frequency/12)

–“Periodic”: The calculation is based on the pay period

–“Weekly”: The calculation is weekly, regardless of the company payroll frequency (salary* frequency/52)

oCoverage: Indicates an amount when the Calculation method field displays “Coverage”. In this case, the amount corresponds to the value of the Calculation Base field (if the calculation base is annual, coverage is annual).

oRounding off: Indicates the rounding off type for the pensionable earnings. The possible values are:

-“Rounding (up)”: Rounds off the pensionable earnings upward without taking decimal points into account;

-“Rounding (down)”: Rounds off the pensionable earnings downward without taking decimal points into account;

-“Dollar”: Rounds off to the nearest dollar. Refer to table 1 for rounding off examples.

oRound off value: Displays the result from the type of “Rounding (up or down)”.

oFrequency of salary calculation: Used value when the calculation base for the pensionable earnings is “A-annual”. The default value is the company’s payroll frequency.

oRate: Indicates the frequency of the amount or rate associated with the premium. The possible values are:

–“Annual”: The premium rate or amount is divided by the payroll frequency;

–“Monthly”: The premium rate or amount is multiplied by 12 and divided by the payroll frequency;

–“Periodic”: The premium rate or amount is associated with a pay period.

oDivision type: Indicates the type of division. The possible values are: “Multiple” (accumulates the amounts where eligible earnings are below or equal to the limit) or “Exclusive” (selects the limit for eligible earnings). Refer to table 2 for an example.

▪Other information:

oTax calculation: Indicates whether or not the tax must be calculated (yes or no).

oPremium frequency: Indicates the frequency used for the premium calculation.

▪List of limits for eligible earnings: Indicates the limits linked to pensionable earnings.

oLimit: Displays the bracket ranges that are used as limits for eligible earnings.

o% of pensionable earnings: Displays the percentage by limit. Each bracket can have an eligible percentage enabling calculation of the insurance premium for a portion of the eligible amount instead of the total. Refer to table 3 below to see an example.

oCurrent: Displays the values without tax used for calculation of the coverage in the Rate and Amount fields. The Slice field indicates the amount by which the coverage rate is divided.

oSmoker and Non-smoker: Displays the values without tax used for calculation of the coverage in the Rate and Amount fields for a man or a woman.

Table 1 - Examples of rounding off of pensionable earnings

Rounding type

Rounding-off value

Pensionable earnings

Validation

Pensionable earnings results.

Rounding up

100

$759.98

Pensionable earnings ≥ 701.00

$800.00

Rounding down

100

$759.98

Pensionable earnings > 701.00 < 799.99

$700.00

Dollar

100

$759.98

Rounding to the nearest dollar

$760.00

Table 2 - Examples of division types (pensionable earnings)

Eligible earnings

Limits

Premium

DivisionType

Result

$1,210.00

$500.00

$10.00

Exclusive

$12.00

9999999

$12.00

Multiple

$22.00 (10.00 + 12.00)

Table 3 - Example of % calculation of pensionable earnings

Pensionable earnings

(according to the pay code matrix)

Percentage of pensionable earnings

Result and calculation of the premium

$2,000.00

60.00 %

$1,200.00 (2,000.00 x 60 %)