Frequently asked questions

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Parachute-shaped octopus
Is PARACHUTE Insurance mandatory?

No, this coverage is completely up to you! PARACHUTE gives you the option to purchase insurance products beyond the standard, or mandatory, benefits offered by your employer. You decide if you want it and how much you’d like to purchase.

Who is eligible for PARACHUTE coverage?

You are eligible to buy PARACHUTE Insurance products if you are:

  • a member of a sponsoring group, meet its eligibility requirements for group benefits, and qualify for coverage as the primary insured under its group benefit plan;
  • less than 65 years of age;
  • actively at work on the date you apply for coverage; and
  • a full-time resident of Canada.

Your spouse is eligible for PARACHUTE coverage if he or she is:

  • less than 65 years of age;
  • is a full-time resident of Canada; and
  • is legally married to you; or
    • has been living with you in a role like that of a marriage partner continuously for the immediately preceding 12-month period;
    • is in a civil union with you as defined by the Civil Code of Quebec;
    • is your registered domestic partner in Nova Scotia; or
    • is the biological or adoptive father or mother of at least one of your children.

Only one spouse is eligible for insurance under your policy and it is the person who most recently satisfies the definition of spouse who is eligible to apply for coverage.

Your children are eligible for PARACHUTE coverage if they are your natural or adopted children or stepchildren and are, at the time of application for insurance, wholly dependent on you for support and either (i) less than 21 years old, or (ii) less than 26 years old, and in attendance at an accredited school as a full-time student To be eligible for PARACHUTE Life Insurance coverage, a child must be over 25 hours old., and are:

  • full-time residents of Canada;
  • unmarried;
  • not employed on a full-time basis; and
  • not eligible for voluntry critical illness or voluntary life insurance as an employee under a group benefit plan.
How can I add more coverage?

You may add more coverage at any time through the PARACHUTE Member Portal to which you will be given access following your purchase. Evidence of insurability will be required if your request is not due to a life event.

What is a life event?

A life event means one of the following events:

  • Your marriage (including common-law) or divorce;
  • the birth or adoption of your child; or
  • the death of your spouse or child.
What is the grace period?
The PARACHUTE Grace Period is the number of days in which coverage for an insured person remains effective although the required premium is late. Other than for payment of the initial premium, which must be paid or coverage will not come into effect, the insurer will grant a grace period of 60 days from the premium due date for the payment of overdue premium. Coverage will remain in force during the grace period but will automatically terminate if the required premium is not paid during the grace period.
How do I pay for my coverage? What payment methods are accepted?
PARACHUTE payments must be made by Visa or MasterCard credit or debit card.

Your first premium is due on the date you first purchase your coverage. This date corresponds to your effective date of coverage. Thereafter, premiums will be due on the first day of each month for which the policy is in force. The amount due each month will be the sum of your family’s monthly premiums. You can update your selected payment card at any time using the PARACHUTE Member Portal.

Please note that only one payment method may be selected per family plan.
What if I change my mind after buying PARACHUTE Insurance?
Within 10 days of buying your policy and on the condition that no claim has been made, you may cancel for any reason and receive a full refund of any premium you have paid if you provide the insurer with written notice of cancellation. You may cancel your policy after 10 days, but you will not receive a refund.
How do I cancel my coverage?
You can cancel your coverage at any time through the PARACHUTE Member Portal, to which you will be given access following your purchase.
What if my policy is terminated due to non-payment of premiums?

If your policy was terminated due to non-payment of premiums, you may apply to reinstate it without answering medical questions if you:

  • apply for reinstatement within 90 days of the date of termination, and
  • pay all premiums that would have been due up to and including the date at reinstatement.

If coverage has lapsed for more than 90 days, evidence of insurability will be required.

For critical illness coverage only: If your coverage is reinstated, it will be subject to the 90-day exclusion period for cancer (life-threatening) and benign brain tumours.

Please contact us for details.

What does smoking status mean?

A person is considered a smoker if, in the last 12 months, he or she has :

  • used tobacco in any form (with the exception of one large cigar per month), nicotine products, nicotine substitutes, oral and nasal sprays, or smoking cessation products; or
  • consumed marijuana or hashish more than three times per week.
When does my coverage end?

PARACHUTE Insurance coverage ends on the earliest of the following dates:

You Spouse Children
Date your policy terminates
Date your insurance terminates
Last day of the month you request, in writing, termination of the insured's insurance *
Last day for which any required premium has been paid, if the grace period has expired
Any policy anniversary upon which the insured is no longer a full-time resident of Canada
70th birthday
Date the maximum amount payable under the policy is paid out

Date the insured person is no longer:

  • Legally married to you.
  • In a civil union with you as defined by the Civil Code of Quebec.
  • In a registered domestic partnership in Nova Scotia with you.
  • Living with you in a role like that of a marriage partner.
     

Date the insured person:

  • Becomes employed on a full-time basis;
  • Turns 21, or 26 if in attendance at an accredited school as a full-time student.
  • Gets married
  • Enters into a civil union as defined by the Civil Code of Quebec.
  • Enters into a registered domestic partnership in Nova Scotia.
  • Has been living with another person in a role like that of a marriage partner continuously for the immediate preceding 12-month period.
  • Becomes eligible for voluntary critical illness insurance or voluntary life insurance as an employee under any group benefit plan.
     

 Date of death
 

* Cancelling child coverage will cancel it for all covered children.

I'm transferring my coverage from [$EMPLOYER]'s old provider. What do I need to know?

Transferring critical illness insurance

Are you covered? How long does my waiting period for pre-existing conditions apply?
Conditions covered by both PARACHUTE and your old policy Yes

If your prior coverage was active for more than two years and there is no gap between the termination of that coverage and your new PARACHUTE policy, you're eligible to claim, up to your transferred amount of coverage, for any condition the two policies have in common.

If you had your old policy for less than two years, the standard 24-month waiting period for pre-existing conditions is reduced by the amount of time you had your old policy. During this time, you're eligible to claim only if the condition doesn't qualify as pre-existing.

Conditions covered only by your PARACHUTE policy Yes During your first 24 months of coverage, you're eligible to claim only if the condition doesn't qualify as pre-existing.
Conditions not covered by your PARACHUTE policy No ---

You can find a full list of PARACHUTE covered conditions here.

Transferring life insurance

If the previous coverage was active for more than one year and there is no gap between its termination and your new PARACHUTE policy If your previous coverage was active for less than one year

PARACHUTE's 1-year exclusion period for suicide doesn't apply to the amount of coverage transferred to your new PARACHUTE Life policy.

If your coverage amount under your PARACHUTE Life policy is greater than your coverage amount under your previous policy, the 1-year suicide exclusion only applies to the difference between your old amount and your new amount.

For example, if you had $100,000 in coverage for more than one year under your prior policy and purchase a $150,000 PARACHUTE Life policy, the 1-year suicide exclusion will apply to $50,000 of your new coverage starting on the PARACHUTE Life policy's effective date.

We will use your original coverage effective date to calculate the one year suicide exclusion period.

For example, if you had $80,000 in previous coverage for 8 months before you bought your PARACHUTE Life policy, your suicide exclusion period for $80,000 of PARACHUTE Life coverage will end after you've had the PARACHUTE Life coverage for 4 months.

Full definitions and benefit provisions can be found in the policy and all coverage is subject to the terms and conditions of the policy.
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