New PSHCP pensioner contribution rates for 2020

February 24, 2020

The Treasury Board has announced the new PSHCP monthly contribution rates.

Contribution rates for retired members of the Public Service Health Care Plan (PSHCP) are adjusted to maintain the 50:50 (retired member:employer) cost-sharing ratio for supplementary coverage.

Rates for retired members of the PSHCP with supplementary coverage will be updated as of April 1, 2020. Since contributions are owed one month in advance, the new rates (see below) will be reflected on retired members' March 2020 pension payments for April 2020 coverage.

The following tables break down the contribution rates by the Extended Health Provision (EHP) and Hospital Provision (HP) with a total amount paid by the pensioner each month. The tables compare 2019 rates (left) with the new rates for 2020 (right).

Retired member monthly contribution rates: supplementary coverage

	Single Rate 2019			Single Rate 2020
Type of Coverage	EHP	HP	Total	EHP	HP	Total
Hospital Level I	$60.33	$0.00	$60.33	$59.68	$0.00	$59.68
Hospital Level II	$60.33	$16.56	$76.89	$59.68	$8.40	$68.08
Hospital Level III	$60.33	$45.41	$105.74	$59.68	$23.22	$82.90

	Family Rate 2019			Family Rate 2020
Type of Coverage	EHP	HP	Total	EHP	HP	Total
Hospital Level I	$119.57	$0.00	$119.57	$122.05	$0.00	$122.05
Hospital Level II	$119.57	$16.56	$136.13	$122.05	$12.14	$134.19
Hospital Level III	$119.57	$45.41	$164.98	$122.05	$29.37	$151.42

Retired member monthly contribution rates: relief provision

If you joined the PSHCP as a retired member on or before March 31, 2015, relief from increasing PSHCP rates may be available if you are or become a recipient of a Guaranteed Income Supplement (GIS), or if your net or joint net income is lower than the GIS thresholds. The PSHCP Relief Provision can allow you to retain the 25:75 (retired member:employer) monthly contribution cost-sharing model. Visit Public Services and Procurement Canada to find out more about eligibility and how to apply.

	Single Rate 2019			Single Rate 2020
Type of Coverage	EHP	HP	Total	EHP	HP	Total
Hospital Level I	$30.17	$0.00	$30.17	$29.84	$0.00	$29.84
Hospital Level II	$30.17	$16.56	$46.73	$29.84	$8.40	$38.24
Hospital Level III	$30.17	$45.41	$75.58	$29.84	$23.22	$53.06

	Family Rate 2019			Family Rate 2020
Type of Coverage	EHP	HP	Total	EHP	HP	Total
Hospital Level I	$59.79	$0.00	$59.79	$61.03	$0.00	$61.03
Hospital Level II	$59.79	$16.56	$76.35	$61.03	$12.14	$73.17
Hospital Level III	$59.79	$45.41	$105.20	$61.03	$29.37	$90.40

Learn more about the 2020 contribution rates and why contribution rates change from year to year.

Federal Court of Appeal judgement in the PSHCP case

In July 2019, the Federal Court rendered its decision on Federal Retirees’ appeal to the Court’s unfavourable decision in August 2017. While the Court found the premium increase was lawful, there were a lot of positives in the decision, especially recognition of the Association’s right to represent all federal retirees. Learn more about the appeal decision and why it’s still important to Federal Retirees.

Update on PSHCP renewal process

The year 2020 is an important one for the PSHCP because your pensioner representative and Association president Jean-Guy Soulière is working hard to move PSHCP negotiations forward and ensure your PSHCP coverage is meaningful, effective and sustainable.

In the meantime, be sure to spread the word about membership with the National Association of Federal Retirees. As a not-for-profit advocacy organization, we have strength in numbers and your membership matters. The larger our association becomes, the stronger our voice – and the more effectively we can speak on behalf of federal retirees. Tell your federal retiree friends to enroll today.

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