How much will my DI payments be?

The amount of the Sun Life DI coverage is 70% of your salary (rounded to the next highest multiple of $250). 

For example, if your  annual salary is $40,786 the adjusted salary is $41,000 and the 70% DI benefit (0.7 x $41,000) is $28,700 annually, or $2,392  monthly.

When you become entitled to DI benefits, retroactive increases in salary authorized after the date on which disability benefits become payable will be included in the "insured salary" for DI benefit purposes, provided that the effective date of the increase was prior to the date of benefit entitlement.

For example, if a person became entitled to disability benefits on September 1, 2003, but on October 1, 2004 received an increase in salary which is retroactive to April 1, 2003, the claimant's benefit would be adjusted to take into account the new higher rate of pay.

Remember that the DI benefits are offset by 100% of any other benefits paid for the same disability by:

  • The Public Service pension plan;
  • Canada/Quebec Pension Plan;
  • Workers' Compensation;
  • Any other group insurance plan or policy regulated by the legislation of any government, for example the Quebec Auto Insurance plan (income replacement benefits);
  • Settlements received as result of court action.

You will still get 70% of your pre-disability salary.

The DI benefit is taxable. Do not forget to check with your HR office and the nearest Tax Services Office (TSO) of the CRA about the payment of your income tax and your entitlement to deduct your DI premiums paid into the plan since you became a member, from the benefits received.

 Sources of Income During Disability

Term

Not work related

Work related

Short term

Sick leave

Sick leave; injury-on-duty leave

Short and/or long term

SunLife DI benefits; Employment Insurance sickness benefits

Workers compensation

Long term

Canada/Quebec Pension Plan Disability Benefit, Public Service Pension Plan Disability Benefit, Your own savings and/or other income

Workers compensation

 

September 22, 2013
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