Minister of State (Finance) Kevin Sorenson announced that five insurance companies that have federal pooled registered pension plan (PRPP) licences have been registered with the Office of the Superintendent of Financial Institutions and the Canada Revenue Agency.
This was the final step necessary for the plan administrators to make federal PRPPs available to Canadians.
The five companies are Great-West Life, Industrial Alliance, Manulife Financial, Standard Life and Sun Life Financial.
“Today concludes the final administrative step in making federal PRPPs available to Canadians,” he says. “This is a major milestone in providing an attractive new retirement savings option for those millions of Canadians—roughly 60%—who do not have access to a workplace pension plan.”
PRPPs are now available to businesses and individuals working in federally regulated industries as well as residents of the territories.
The Canadian Life and Health Insurance Association (CLHIA) welcomed the news.
“This is precisely what millions of working Canadians across the country, who don’t currently have access to a pension place at the workplace, need—a simple and viable way to build a comfortable retirement,” says CLHIA president Frank Swedlowe.
The CLHIA continues to urge all provinces to follow the lead demonstrated by Ottawa, Quebec, British Columbia, Alberta and Saskatchewan and introduce PRPP-enabling legislation as soon as possible.
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