Facts on OMA Disability Insurance: The OMA insurance disability plan is group insurance. There are several quality differences between individual and group insurance policy provisions including a limited partial disability benefit, recurring disability benefit and you do not own or control the policy.
With OMA disability insurance, rates can be age banded (<35, 35-44,45-54 and 55-69) which increase over time or on a level rate. Level rates are not guaranteed and may change overtime depending on the insurance costs of the group. At most ages, the OMA will be less expensive than an individual plan.
Below are the highlighted differences in policy provisions between an individual policy and the group OMA disability plan.
- Control – Under the OMA group disability plan, the insurer (Sun Life) controls your insurance. If you leave the OMA, you need to pay OMA fees to maintain your insurance. An individual plan you own and control.
- Partial Disability – With the OMA there is no minimum payment if you are partially disabled. Individual coverage has a 50% minimum for 6 months.
- Portability – If you leave Ontario, you need to pay OMA fees to keep your insurance. Individual coverage is portable.
- Recovery from disability. When you return to work after a total or residual disability, there is no recovery benefit from the OMA to help with a loss of income. An individual plan offers a minimum of 4 months based on the percentage income lost.
- Inflation protector – The OMA has no minimum inflation rider. Individual coverage offers a minimum 2%.
- Long term care conversion. The OMA long term care insurance is through Sun Life and these policies are paid off after 25 years where as for comparison purposes RBC offers a long term care conversion feature that only takes 20 years to pay off.
- Discount. The OMA offers a rebate only on the first $10,000 per month of coverage. An individual plan offers a discount of up to 25% on up to $30,000 per month of coverage.
Source: OMA Insurance
If you want to have the best quality coverage, an individual plan gives you ownership and control over your insurance. Think about this, you went to school for the better part of 15 years, why would you leave your insurance in the hands of someone else. We recommend you own and control your policy and an individual plan is the best route.
Disclaimer: Levine Financial Group are independent insurance brokers. We are not part of the OMA and do not offer OMA Insurance.