‘The first supplemental employment insurance policy of its kind in Canada’.
SalaryGuard is gap unemployment insurance coverage providing the difference between your former weekly paycheck and Canadian benefits.
Coverage is available for up to 24 weeks in approved territories only.
The Canadian branch of the Great American Insurance Company is offering consumers coverage intended to supplement Federal Employment Insurance benefits through a brokerage; BFL Canada Risk and Insurance Services Inc., as announced earlier this year.
BFL is selling the Great American coverage, aptly named SalaryGuard in BC. Thankfully, other provinces will also be offered this coverage in the future.
SalaryGuard “will replace up to 55% of an employee’s former wages in the event of an involuntary job loss,” BFL Canada added.
For most people, the “basic rate” for calculating employment insurance benefits in Canada is 55% of their “average insurable weekly earnings”, up to a maximum amount, according to the Federal Government.
“As of January 1, 2016, the maximum yearly insurable earnings amount is $50,800, which means that you can receive a maximum amount of $537 per week.”
The maximum weekly benefit payable from SalaryGuard is based on an annual income of $310,000, which of course, eliminates a high percentage of EI recipients.
SalaryGuard is not available to those that had collected regular EI benefits within the past two years, and in order to be eligible, they must have been at their current employer for a minimum of six months.
“SalaryGuard provides gap coverage equal to the difference between 55% of the insured’s former weekly income, and the benefits provided by the government,” BFL stated.
Federal EI benefits are not available to employees that were dismissed for misconduct, or who voluntarily left their jobs without just cause.
However, they may be available to former employees who lost their jobs through no fault of their own, and who are actively seeking employment.
According to the SalaryGuard website, the qualifying criterion for BC EI Recipients is as follows:
- Continuous employment for a minimum of 18 months;
- Have not been served with a Notice of Termination;
- Have a yearly salary over $52,100;
- Presently employed on a full-time basis; and
- Must be a resident of British Columbia.
SalaryGuard is private employment insurance. In the event you lose your job and are eligible for Regular Employment Insurance Benefits, this supplemental employment insurance provides cash when you need it the most.