Memo: Changes to M&P Disability Benefit Plan Premium Rate effective January 1, 2012

Memorandum
Date: Dec. 9, 2011
From: Michelle Berner, Director, HR, Total Compensation
To: All Management & Professional Staff enrolled in the Disability Benefit Plan
Subject: Changes to M&P Disability Benefit Plan Premium Rate effective January 1, 2012

The UBC Disability Benefit Plan (DBP) is a mandatory, employee-paid plan that provides a monthly income for those who meet the definition of disability, and who have been unable to work for a period of six months (the elimination or qualifying period) as a result of the disability. The DBP premiums are deducted each pay period.

The plan was transitioned to a fully insured plan effective June 1, 2010, and the premium rate was scheduled for renewal, with an effective date of January 1, 2012.  The DBP premium rate was reviewed by the insurance company (Sun Life) and the University’s Benefits Consultant (Mercer), who took into consideration the previous claims experience, membership demographic data, and potential future claims experience of the plan.  The review of all these factors resulted in a decrease to the DBP premium rate.  Effective January 1, 2012, the premium rate will be 1.346% of your gross monthly salary (decrease of approximately 3.9% from 1.40%).  Your new, lower premium will be reflected on your January 15, 2012 pay advice.

Going forward, premium rates will be reviewed on an annual basis and may change depending on the outcome of the review.

For Additional Information

Click here to view detailed information about the M&P DBP.

If you have any questions, please contact Stephanie Mah at 604-822-6823 or stephanie.mah@ubc.ca.