One-in-three Canadian workers will be off work for three months or more
Twitter: Disabilities happen to 1-in-3 CDN workers, yet 67% of us haven't
discussed how to handle financial impact of not working says
Summary: Becoming disabled while working is a real possibility for many
Canadians. 43% of working households in Canada have had someone take
time off due to disability and one-in-three working Canadians will
experience a period of disability lasting longer than 90 days during
their working lives. Yet, 67% of Canadian workers have not talked about
how they would manage the financial impact of not working. Canadians
need to have these conversations, know their coverage and be prepared.
TORONTO, Sept. 29, 2015 /CNW/ - While Canadians may be savvier than ever when it comes to planning their
financial futures, many workers are not taking the time to discuss the
financial impacts of becoming disabled. According to a recent RBC
Insurance survey, 95 per cent of working Canadians agreed that a
disability could happen at any time, yet 67 per cent have not discussed
with their family how they would face the financial impacts if they
could not work due to a disability.
These are important conversations to have considering that 43 per cent
of working households have had someone take off time due to disability,
and that 72 per cent of Canadians would face serious financial
implications if off work for three months.
"Working Canadians cannot ignore the real risk that they may be off work
with a disability sometime in their working careers," explains Mark
Hardy, senior manager, Life and Living Benefits, RBC Insurance.
"One-in-three working Canadians will experience a period of disability
lasting longer than 90 days during their working lives. Workers need to
talk with their family and take action today so they are prepared for
future financial implications of not being able to work."
"We Need to Talk"
Not knowing how to start the conversation (20 per cent) and a discomfort
with talking about disability (19 per cent) are the leading reasons why
Canadians are not talking about the financial implications of missing
work. What would get Canadians talking? Thirty-four per cent would be
more open to a conversation if their own financial situation worsened
and 23 per cent would discuss the topic if they personally knew someone
who had missed work due to a disability.
"There is a mistaken perception that a disability 'will never happen to
me,' but becoming disabled is a real possibility during our careers.
Disability can occur suddenly, and beyond the serious financial
implications there's also the emotional toll to consider, which further
underscores the need for conversation," added Hardy.
Canadian Workers Need to Confirm Coverage
Understanding what coverage you have is important for all Canadian
workers. Many believe they have enough coverage through their employer,
and may not realize that benefit plans have limited coverage. With 43
per cent of families indicating that they do not have disability
insurance coverage through their workplace benefits package, workers
need to confirm what they have and take immediate steps to ensure that
they are protected.
Tips to Consider for Discussing Finances and Being Off Work Due to a
Investigate the coverage you have through your employer plans.
Understand how the plan defines a disability and what is and isn't
covered. If you need additional coverage talk with an insurance
Understand your personal finances and how much income you need to cover
Set aside an emergency budget to help you through at least three months
of living expenses.
If you need support, talk with friends and family and ask about employee
assistance programs at work.
The ideal time to bring up this conversation is when you are reviewing
and discussing your annual financial goals.
About the RBC Insurance Survey
RBC Insurance commissioned Ipsos to conduct a survey to gauge public
opinion of Canadian workers regarding matters related to disability,
financial preparedness around disability and attitudes towards
disability. The survey was conducted between June 12 to 19, 2015. In
total, a sample of n=1,500 working Canadians was surveyed online using
Ipsos's I-Say online panel. The precision of Ipsos's online survey are
measured using a credibility interval, in this case the results are
considered accurate to within ± 2.95 percentage points, 19 times out of
20, had the entire population of Canadian workers been polled.
About RBC Insurance
RBC Insurance®, through its operating entities, provides a wide range of
travel, life, health, home, auto, wealth and reinsurance products and
solutions, as well as creditor and business insurance services to
individual, business and group clients. RBC Insurance has more than
four million clients globally. We are one of the largest Canadian
bank-owned group of insurance companies, and among the fastest growing
insurance organizations in the country. RBC Insurance employs more than
3,000 employees, and is the brand name for the insurance operating
entities of Royal Bank of Canada.
SOURCE RBC Insurance
For further information:
Greg Skinner, RBC Corporate Communications, 416-294-5579