Health and Dental Benefits for the Self-Employed

Health, dental and income protection for business owners and the self-employed.

Why it matters

Without an employer plan, prescriptions, dental work and glasses come out of your own pocket. The right setup can cover them, and often make them tax-deductible.

• 1 in 3 Canadians will be disabled for 90 days or more at least once before age 65.
• 2 in 5 Canadians are expected to be diagnosed with cancer in their lifetime.
• $0 from an employer plan when you work for yourself, unless you set one up.

Sources: CLHIA, Guide to Disability Insurance; Canadian Cancer Society.

Your options

Individual plan

Personal health and dental coverage for drugs, dental, vision and paramedical care.

Health spending account

For incorporated owners and businesses with staff, paid through the business.

Small group plan

Even a few employees can qualify for health, dental, life and disability coverage.

Why it pays to plan

1. Tax savings. A qualifying plan can turn after-tax health costs into a business expense.
2. Easier approval. Some individual plans skip medical questions if you apply soon after leaving a group plan.
3. Keeping good people. Benefits help a small business attract and keep staff.

Sole proprietor with no employees? A self-funded health spending account won’t qualify, but premiums for an insured private health services plan may still be deductible.

Protect the business, too

• Disability: Your income. Replaces your pay if you can’t work.
• Critical illness: A lump sum. Keeps the business running while you recover.
• Key person: Your best people. Covers someone the business can’t run without.
• Business overhead: Fixed costs. Pays rent, staff and bills while you’re off.

Choosing the right fit

The best setup depends on how your business is structured.

• Self-employed. Individual health and dental, plus your own disability coverage.
• Incorporated owner. A health spending account, with or without an insured plan.
• Growing team. A small group plan covering you and your employees.

Check your spouse’s plan. If your spouse has workplace benefits, you may already be covered, or only need to fill the gaps.

Getting started checklist

• Add up what you spend on health and dental each year.
• Check whether a spouse’s plan covers you.
• Ask your accountant how your business is set up.
• Compare individual, HSA and group options.
• Add disability and critical illness protection.
• Review benefits as your business grows.

What a plan can cover

Most plans can be built around what your family actually uses.

• Health: Prescription drugs, physio, massage, chiropractic, counselling and vision care.
• Dental: Checkups and cleanings, fillings, and major work like crowns.

Getting started

1. Tell me about your business and your family.
2. Compare plans from several providers.
3. Choose the coverage and budget that fit.
4. Review your benefits each year.

Leaving a group plan? Apply soon after your workplace coverage ends. Many insurers offer plans without medical questions if you do.

Let’s build your benefits

Whether you work alone or have a growing team, I’ll help you find coverage that fits your business.

Book a conversation with Michael, or call the office at 506-406-6100 (cell 506-440-6196). Email: [email protected]. Ask for a printed copy of this brochure at your next meeting.

For general information only; not tax or legal advice. Tax treatment depends on your business structure and CRA rules; confirm with your accountant. Coverage depends on the plan and insurer. We’ll review the details that apply to you together.