More on the Impact of Disability on Society

Although workers, their families and employers carry more than 60% of the financial burden of disability, Canadian society as a whole must bear the rest. This additional burden is reflected in the costs of auto insurance, social security payments, social services, and health care. Here are examples of the costs associated with disability incurred by Canadian society:

  • Each person with a disability who exhausts sick leave/disability benefits and must go on social assistance moves from being a benefit contributor to a benefit recipient. Canadian society also loses the contributions these individuals make as a result of their education, hard work and creativity.
  • A single person who becomes disabled and goes on a disability pension at age 35, will require a capitalized pension of $220,940 in order to pay an annual pension of $9,252 until age 65 or $980,410 if the eligible pension amount is $48,000.
  • Between 1996 and 1997, $3 billion was paid in Canada/Quebec Pension Plan Disability Benefits.
  • $400 million was paid in Employment Insurance Sickness Benefits during that same period.
  • Auto insurers paid $1.8 billion to persons with disabilities.
  • The Insurance Corporation of BC spends approximately $300 million per year on wage replacement for those injured in automobile accidents.