D.A. TOWNLEY  -  Plan Administrators

 
 

glossary

 
Glossary Photo
 
 
The following are commonly used terms in relation to the Group Insurance Plan and Pension Plan. If you have additional questions, please contact the Plan Administrator.
 
Administrator D.A. TOWNLEY. The Administrator co-ordinates enrolment into the Plans, claims payment, pension processing and answers all Member questions regarding the Group Insurance or Pension Plans.

Annuity Pension income purchased from a life insurance company.

Beneficiary The person(s)/Estate that you designate to receive Life Insurance, Accident Insurance and/or pension benefits upon your death.

Co-Insurance The percentage paid by the Member for each eligible benefits expense.

Coordination of Benefits The ability to make a claim for Extended Health Care and/or Dental eligible expenses under your Benefits Plan and your spouse's benefits plan. This allows you to receive up to 100% reimbursement for an eligible Extended Health Care or Dental expense.

Deductible The amount of out-of-pocket expense that a Member must incur prior to being eligible for reimbursement on subsequent claims. (Annual)

Defined Contribution Plan Type of Pension Plan where the employer contributes a fixed percentage per hour worked. The amount of retirement income will depend on how much is contributed by the employer and the interest earned on contributions. The Towboat plan is a defined contribution plan.

Dependent A dependent is defined as:

  • The person to whom you are married or a person with whom you reside and whom you represent as your husband or wife. Only one person may qualify at any one time.
  • Unmarried children under 21 years of age.
  • Unmarried children age 21 or over are also eligible provided they depend wholly upon you for support and maintenance and are full-time students in an educational institution.
  • Stepchildren, foster children and legally adopted children may be included the same as your own children, provided they depend upon you for support and maintenance.
  • A child who is physically or mentally incapable of self-support upon attaining age 21 may be continued under the Extended Health and Dental benefits while remaining incapacitated and unmarried, subject to your own coverage continuing in effect. This privilege also will apply to a child who has remained in the Insurance Plan beyond his or her twenty-first birthday if he or she later ceases to be a qualified dependent and is physically or mentally incapable of self-support and is not married.

Dispensing Fee The pharmacist's charge for filling a prescription (also see Professional Fee).

Locked-in Vehicle Locked-in RRSP or Retirement Account to which you transfer funds from a Registered Pension Plan after you terminate employment. Locked-in means that funds transferred must be used to provide retirement income, anytime after the age of 55.

Lowest Cost Alternative Drug The lowest cost equivalent product that can be legally used to fill the prescription as listed in the Provincial Drug Formulary listing.

Old Age Security Government provided pension payable to all Canadians from age 65 based on your years of residence in Canada, and subject to claw-back if your retirement income after age 65 exceeds a certain level.

Paramedical Services provided by a licensed practitioner including: massage therapist, naturopath, physiotherapist, podiatrist, chiropractor, clinical psychologist or osteopath.

Pension Benefits The income that you will receive at retirement.

Voluntary Contributions A participating Employee who is a Union Member in good standing may contribute to the Plan on a voluntary basis in order to provide for additional pension benefits. Such additional voluntary contributions shall be subject to the limitations imposed in the Income Tax Act and Regulations of Canada.
Wage Indemnity A benefit that pays the maximum weekly payment provided under E.I., but not to exceed 85% of your pre-disability earnings, for up to 52 weeks if you are unable to work due to sickness or accident. See the Health Benefit Booklet for details on this benefit.



 
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