Statement: Pharmacare deal seeks to replace workplace benefits and charge taxpayers instead

News Release

(Toronto, March 6, 2025) Stephen Frank, President and CEO of the Canadian Life and Health Insurance Association (CLHIA), today issued this statement on the announcement of a government-only pharmacare agreement between the Government of Canada and the Government of British Columbia:

“The pharmacare agreement announced today between the federal government and British Columbia is disappointing and jeopardizes access to medications that workers rely on through their employer-provided benefits. Instead of replacing workplace benefits with government-only pharmacare, we need to focus our finite resources on the people who need help. Resources should be provided to those who do not have the access, choice and quality of medications that are paid for already by employers.

Canada’s life and health insurers fully support access to contraceptives and diabetes medications for all British Columbians. In 2023, we provided health benefit coverage to 3.7 million people in British Columbia and paid out more than $6.4 billion in claims payments.

In this time of economic uncertainty for working Canadians and businesses, using tax dollars to have government take over services that are already being successfully delivered is not financially sustainable given all the spending priorities Canada is facing.”

About the CLHIA
The CLHIA is a voluntary association whose member companies account for 99 per cent of Canada’s life and health insurance business. These insurers provide a wide range of financial security products including life insurance, annuities (including TFSAs, RRSPs, RRIFs and pensions) and supplementary health insurance to nearly 30 million Canadians. They hold over $1 trillion in assets in Canada and employ almost 180,000 Canadians.