Understanding the Guaranteed Re-Entry Provision (GRE) - Manulife Engineers Canada Disability Plan

Introduction

If you own a Manulife Engineers Canada Disability Insurance plan, this article is for you. Likewise, if you are considering purchasing a Manulife Engineers Canada Disability Insurance benefit plan, this article is also for you. This article highlights a unique and valuable feature that is integrated at no additional cost into some of the Manulife Engineers Canada offerings: the Guaranteed Re-Entry Provision (GRE).

The GRE provision offers members the flexibility to suspend their disability coverage while they are covered by an employer-sponsored group benefits plan and re-activate it later without the need for additional medical underwriting. This feature not only ensures continuous protection and financial security but also provides peace of mind by eliminating the need for re-evaluation upon rejoining the plan.

In the following sections, we will explore the key aspects and benefits of the GRE provision, demonstrating why it is an invaluable component of the Manulife Engineers Canada Disability Insurance plan.

Guaranteed Re-Entry Provision (GRE)

The Guaranteed Re-Entry Provision (GRE) in the Manulife Engineers Canada Disability Plan allows members who suspend their coverage in favor of an employer-sponsored group program to rejoin the Engineers Canada plan at a later date without submitting new evidence of insurability. Here are the key aspects and potential value of this provision:

Key Features of the Guaranteed Re-Entry Provision:

1. Eligibility:
   • The member must have been insured under the Engineers Canada plan for at least two consecutive years.
   • The member must suspend their current coverage to join an employer-sponsored group program.
   • The member must apply for re-entry within ten years from the date their coverage was suspended.
   • The member must be under age 55 at the time of re-entry.
   • The application for re-entry must be made within 90 days of termination from the employer's group program.
   • Proof of continuous coverage by the employer's group program must be provided.
2. Coverage Limits:
   • The coverage upon re-entry may not exceed the coverage previously held under the Engineers Canada plan.
3. Premium Payments:
   • While the coverage is suspended, the insured member pays zero premium for their Manulife Engineers Canada Disability insurance plan.
   • Once the insured member loses their employee group benefits plan and reactivates their Manulife Engineers Canada Disability insurance plan, the premium payments would resume.

Value of the Guaranteed Re-Entry Provision:

1. Flexibility and Continuity:
   • The provision offers flexibility for members to join an employer-sponsored group program without losing the opportunity to return to the Engineers Canada plan.
   • It ensures continuity of coverage, allowing members to switch back to the Engineers Canada plan if they leave their employer-sponsored plan – losing their employee group benefits, without the need for medical re-evaluation.
2. Avoiding Medical Underwriting:
   • As the Engineers Canada Disability Plan is medically underwritten, members typically need to undergo a medical evaluation to determine eligibility and premium rates at the time of application.
   • The Guaranteed Re-Entry Provision eliminates the need for a new medical assessment upon rejoining, which can be particularly valuable if the member’s health has deteriorated since their original application.
3. Cost Savings:‍
   • Members benefit financially by not having to pay premiums while their Manulife Engineers Canada Disability insurance plan is suspended, and they are covered by an employer-sponsored plan.
4. Peace of Mind:‍
   • Members gain peace of mind knowing they can return to the Engineers Canada plan with their previous coverage levels intact, regardless of any changes in their health status.
   • This provision ensures they are not penalized or denied coverage due to new health issues that may arise during their time with an employer-sponsored plan.
5. Protection Against Uncertainty:‍
   • The job market and employment situations can be unpredictable. This provision protects members against gaps in disability coverage that might occur if they lose their employer-sponsored insurance.
   • It acts as a safety net, ensuring that members have a reliable option to revert to should their employment situation change.
6. Financial Security:
   • Disability insurance is foundational for financial security in the event of an illness or injury that prevents working. The Guaranteed Re-Entry Provision ensures that members can maintain this financial protection without interruption.
   • It helps members manage long-term financial planning more effectively, knowing they have guaranteed access to disability coverage.
7. Awareness and Common Misconceptions:‍
   • Quite often, insured members are not aware of the Guaranteed Re-Entry Provision (GRE). As a result, when their employment situation changes—typically moving from being a self-employed consultant to working as an employee in a company that offers LTD coverage as part of their employee group benefits package and compensation—their initial reaction is to want to 'cancel' their Manulife Engineers Canada coverage outright.
   • It is important that insured members be aware that this isn't the best approach. There is no downside to exercising their Guaranteed Re-Entry Provision (GRE), assuming they are still eligible at the time (i.e., have maintained their Manulife Engineers Canada Disability plan for at least two years and are under the age of 55 at the time).
   • By canceling their Manulife Engineers Canada Disability coverage outright, members may preclude themselves from requalifying for the plan again in the future if their health has changed in the interim.

Conclusion

The Guaranteed Re-Entry Provision in the Manulife Engineers Canada Disability Plan is a highly valuable feature. It provides flexibility, continuity, and security for members, allowing them to navigate changes in their employment and health status without losing their disability coverage. By eliminating the need for medical re-evaluation upon rejoining the plan and ensuring zero premium payments during the suspension period, it safeguards members' insurability and ensures ongoing financial protection without any downside to the member.

Professional licensed advisors at Garrett Agencies are available to assist insured members with exercising their Guaranteed Re-Entry Provision (GRE). By providing personalized guidance and support, Garrett Agencies advisors help make the process of suspending and reactivating your coverage seamless and stress-free.