What happens to my benefits if I leave my job?
March 2022 – 15 min read
Under most group benefits plans, you’re only covered when you’re working for the employer
There are benefits to making a job or career change
Some group benefits providers allow you to switch from your group plan to a personal plan
Provinces provide certain services and supplies for eligible residents
There are some instances where it’s worth the cost to buy personal health insurance
When employer benefits end after leaving a job
Under most group benefits plans, you’re only covered when you’re working for the employer.
If you resign, your benefits normally end after your resignation notice period ends.
If you’re fired, your benefits may end immediately.
If you’ve been laid-off, your benefits may continue for a certain period of time. Ask your employer to confirm.
Keeping benefits after you leave a job
Some group benefits providers allow you to switch from your group plan to a personal “rollover” health and dental plan. You’ll likely need to be covered under your current employer’s group plan, and sign-up as soon as your coverage ends.
For example, when Corey retires from his job, he’ll lose his workplace benefits. Healthy and active, he plans to rock climb in the summer and ski in the winter. Because Corey believes he’ll need regular massage therapy and physiotherapy and is aware other health concerns may crop up as he ages, before his previous coverage ends, he applies for personal health insurance so he has the necessary coverage he might need.
The above example is for illustrative purposes only. Situations will vary according to your province/territory and specific circumstances.
Is personal health insurance worth it?
If you or someone in your family currently has expensive prescriptions or relies on medical equipment, and those costs aren’t covered under your provincial/territorial plan, personal health insurance may be worth it.
Some people are also more comfortable knowing they’re covered if something unexpected happens to their health.
Now that you understand what may happen to your employer benefits when you leave a job, you may also want to:
Check with your company’s human resources department to determine when your benefits would end
Talk with an advisor about your need for personal health insurance
Talk with an advisor about your need for personal health insurance if you don’t have coverage
If you are a Quebec resident, personal health insurance can provide supplemental coverage to the prescription drug coverage provided under the Régie de l’assurance maladie du Québec (RAMQ) basic prescription drug insurance plan. Personal health insurance doesn’t remove your obligation to have drug coverage through the RAMQ drug public plan, through your employer or an association you are a member of or through the employer of your spouse.
This information is general in nature, and is intended for informational purposes only. For specific situations you should consult the appropriate legal, accounting or tax advisor.