Senate Bill S-201—a bill that prohibits and prevents genetic discrimination—is set to be discussed this week in the Commons, but the insurance industry has its reservations regarding the pending legislation.
Huffington Post reported that the Commons debate over S-201 begins today, Tuesday.
The bill passed the Senate unanimously. It is Liberal Senator James Cowan’s third attempt to protect Canadians who want to be genetically tested from their employers and/or insurers.
“Fear of genetic discrimination is stopping many Canadians from having genetic testing that their doctors believe would benefit them,” Cowan reasoned before the Senate.
If an individual’s genetic testing reveals a genetic disorder, he or she could be discriminated by his or her employer—even fired from their jobs. The same information could also convince life insurers to raise the premiums of their policies, or even outright deny coverage from those who have tested positive for a genetic disorder.
Once passed, the bill prohibits anyone from requiring an individual to undergo a genetic test, or to disclose the results of a genetic test. The bill also amends the Canada Labor Code and the Canadian Human Rights Act, allowing both to prohibit discrimination based on genetic characteristics. Violators could pay fines of up to $1 million, and could face imprisonment for up to five years.
Although the bill has its merits, the insurance industry raised several points against it, explaining that the legislation could harm the market.
Canadian Life and Health Insurance Association president and CEO Frank Swedlove told senators that S-201 is unfair to the insurance industry since it allows applicants to know more about their health risks than their insurers whenever they assess risk.
“This is directly contrary to the principle of equal information, which is the foundation of our insurance system,” Swedlove clarified.
Swedlove added that the insurance industry self-regulates, preventing would-be insurers from demanding a genetic test before issuing a policy. He also asserted that if someone gets a test, his or her insurer has the right to know the results.
Canadian Institute of Actuaries fellow Jacques Boudreau warned that if the bill is passed, insurance premiums for everyone would surge.
“We are deeply concerned that the vast majority of the public will have to pay more for insurance because of the increase in premiums to fund the cost of anti-selection,” Boudreau remarked.
“Their principle concern is that someone will go, find out they carry a gene and increase their life insurance,” pointed out Liberal MP Rob Oliphant. “Our primary concern is someone is going to not find out they have that gene, and not do proactive medical care, and, more likely, die quickly and not pay their premiums.”
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