House of Commons passes pharmacare bill – insurance industry reacts

Association leader points to 'missed opportunity'

House of Commons passes pharmacare bill – insurance industry reacts

Life & Health

By Terry Gangcuangco

Canada’s Bill C-64, or what will be known as the Pharmacare Act, has been passed by the House of Commons on third reading, prompting Canadian Life and Health Insurance Association (CLHIA) president and chief executive Stephen Frank to draw attention to a ‘missed opportunity’.

Frank asserted in a statement: “Canada's life and health insurers believe all Canadians should be able to access the drugs they’ve been prescribed. Both workplace plans and publicly funded plans have to be part of achieving universal access.”

Citing the potential repercussions for millions of Canadians relying on workplace drug plans, the CEO highlighted the importance of maintaining a dual approach to drug coverage. Notably, Frank pointed out a discrepancy between the Health Minister’s assurances and the bill’s language.

“Late last month, the Minister of Health told MPs on the health committee that those who have an existing drug plan are going to continue to have access to those plans and the coverage they provide,” Frank declared. “If that’s the Minister's intent, it is not at all clear from Bill C-64.”

The bill, as it stands, calls for a single-payer system, which traditionally implies that the federal government would be the sole payer. This model, according to Frank, could severely disrupt current workplace drug coverage for approximately 27 million Canadians.

It was claimed that the implications of such a shift could be far-reaching, potentially limiting access to specific medications and reallocating federal resources in ways that might leave many Canadians uninsured or underinsured.

“We and other witnesses urged the House of Commons health committee to amend the bill to reflect the Minister’s view that workplace benefits are not at risk,” Frank said. “That the committee did not do this is a missed opportunity and concerning to working people and their families who count on their existing workplace benefits.

“It is imperative that the bill be amended to reflect the Minister’s own statements to ensure existing drug coverage provided by workplace plans is not unintentionally disrupted.”

Similarly, the Canadian Chamber of Commerce has expressed disappointment.

“We are… disappointed Bill C-64, the Pharmacare Act, has not been amended to clarify that a federal pharmacare program will not jeopardize the private insurance of 27 million Canadians,” Canadian Chamber of Commerce’s Kathy Megyery commented.

Following its House of Commons passage, Bill C-64 is now headed to the Senate.

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