A bill reversing the order of who pays first for some benefits coverage and an age cap on workplace benefits is causing Alberta-based employers to question the financial impact of the legislation.

Bill 11 came into effect Thursday, amending the Alberta Health Care Insurance Act so that it reverses the payer order if an individual has both private and a government-sponsored benefits plan. Previously, the government plan would pay first but now the cost goes to private coverage first and the government becomes the payor of last resort.

It also prohibits employer-sponsored drug and supplemental benefits plans from ending coverage at age 65.

Read: Alberta legislation allowing access to private health services through employer-sponsored benefits plans

Depending on the program itself, the benefits that could be affected by the new legislation could include prescription drugs and other external services. Coverage of dental, life insurance, disability and travel insurance isn’t part of the change.

“It’s quite common for group insurance benefits . . . to cease at 65, regardless of whether the employee is actually still an active member of the workforce,” says Jennifer Thompson, partner and........

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