Under pressure from the NDP to replace popular employer benefits plans with a government pharmacare plan, the Liberal government has passed legislation which would see tens of billions of dollars spent on something most people say they don't need.

Canada’s health care system is already under so much pressure, it is in danger of breaking.  Many people are scrambling. Millions can’t find a doctor (6.5 million in fact). Wait times for tests and treatments continue to lengthen. As our population ages, health care costs are only going to grow in the coming years. 

There is a pressing need to rewire the Canadian economy so that it is more resilient, diversified, and competitive. Which means Canada has a lot of spending priorities to consider. It is vital to prioritize what is the best use of taxpayers’ dollars and what is not.

Elections are a good time to set new directions. Canada’s next Prime Minister, whoever that turns out to be, will need to adopt a practical approach to filling health care gaps that Canadians see as urgent and more relevant to their needs. In these days of great uncertainty, we need to focus on the greatest needs and threats. When it comes to pharmacare, that means focusing our efforts on uninsured Canadians who may not have the drug coverage they need.

Workplace or group health insurance serve 27 million people across our country – working Canadians and their families. Funded mostly by employer contributions, these plans help Canadians afford the prescription medications they need, as well as mental health services, physiotherapy, eye care, dental care and a lot more. 

It is an example of an approach that works well, for all concerned. Costs are spread across large populations and take financial pressure off governments.   Services are well organized to deliver what people need, when they need it. They strengthen employer-employee relationships. They make work life better and recruiting and retention easier for companies. 

Rather than pushing insurance providers out, Canadians believe public policy should go in the other direction. Large majorities believe government should encourage employers to offer benefit plans and make the plans as flexible and valuable as possible for employees. In a recent survey conducted by the Canadian Life and Health Insurance Association, 92% like the idea of “making it more attractive for more employers to establish these plans for their workers”.

Expanding group and workplace insurance would make for a healthier Canada. Group plans typically include wellness programs and services that can identify health risks early. Promoting a culture of prevention helps reduce the incidence of chronic diseases and other health conditions, saving lives, easing suffering and avoiding extensive and expensive treatments.

Finally, group and workplace insurance plans are good for Canada’s economy. They help attract and retain talent, reduce absenteeism, boost productivity and fuel economic growth.  

Spending billions of tax dollars to have government take over services that are already being successfully delivered to millions of satisfied Canadians should be an easy page to turn. Now, perhaps more than ever before – Canadians want to focus government policy and spending on investments that will strengthen our resilience and economic independence. 

Jacques Goulet, Chair of the Board of the Canadian Life and Health Insurance Association and Executive Chair of Sun Life Canada