Understanding WCB/WSIB and Life Waiver of Premium in Relation to an LTD Claim

February 26, 2013

Although it is a regular practice of our team to discuss these issues in detail with our Group Benefit clients, the fact remains that as a rule, Plan Administrators often misunderstand how LTD claims, WSIB claims and Life Waiver of Premium (Life Waiver) claims interelate and are interdependent.  I would, also, go so far as to say that many licensed insurance agents don't fully comprehend or understand the matter fully/correctly, so be aware.

Great-West Life recently developed a GroupLine communication (find it HERE) and I felt it did an excellent job of explaining some of the most commonly misunderstood and important points about the subject; examples included!

While you need to consider your individual circumstances (re: plan design, single/multi-carriers, etc.) this is an excellent set of guidelines to steer you through the pitfalls of the LTD/WSIB/Life Waiver landscape.

I suggest paying particular attention to the section entitled 'Workers' Compensation Benefits and LTD', as this is probably the most misunderstood element of the disability benefit continuum. The bottom line is, you need to file both the WSIB claim and the LTD/Life Waiver claim forms in the event of a prolonged workplace accident/injury/illness.  If you don't there are significant liability issues at play.