iAtoday

While it may seem like a trivial task, forgetting to update plan members’ salaries could have undesirable consequences.

Salaries usually determine plan members’ life insurance and short- and long-term disability benefits. If a plan administrator fails to notify us of a change in salaries:

• Unreported salary increases could result in benefits lower than they should have been.
• The company could be held liable for these lower benefits.

To avoid this situation, plan administrators must send us the salaries according to the definition of salary provided in the contract and notify us without delay of any salary changes.

We will send a communiqué to group insurance plan administrators on February 19.

See the French version of the communiqué.