The Short Term Disability benefit under your group insurance plan qualifies for an EI premium rate reduction – i.e. a lower employer EI rate!
The following illustration will give you an idea of the savings available if you apply for the premium rate reduction:
In 2015, the employee EI premium for an individual earning $500 per week is $9.40, with the regular employer premium being $9.40 X 1.4 = $13.16.
With the full premium rate reduction, the employer EI premium rate factor is reduced from 1.4 to 1.224 (times the employee EI premium) – $9.40 X 1.224 = $11.50.
That is a total savings of $1.66 per employee per week or approximately $7.19 per employee per month!
PWI Insurance Services are independent group insurance brokers, and third party administrators. For more information on the services we offer, contact us at 519-747-3324, 800-265-2178, or firstname.lastname@example.org.