The principle “you get what you pay for” applies not only to goods and services but also to disability insurance policies in the workplace. Employer-provided long-term disability (LTD) coverage varies depending on the policy purchased, with cheaper policies often offering capped benefits for a shorter duration, and more comprehensive plans providing longer coverage periods and higher benefit amounts.
A common question arises for employees continuing to work past age 65: Can an employer legally limit disability coverage to age 65?
Understanding the legal framework and available options is crucial for Ontario employees navigating LTD coverage.
Can employers limit long-term disability coverage to age 65 in Ontario?
Yes. Employers can legally limit long-term disability coverage to age 65. Policies
often include an age cap, and Ontario regulations under the Employment Standards Act allow a clear boundary for coverage, generally for employees “any age of 18 years or more and less than 65 years.”
Does this constitute age discrimination?
No. Limiting LTD coverage to age 65 is not considered age discrimination under Ontario law, as long as the policy follows statutory regulations.
What are my options if I continue working past 65?
Employees can purchase private disability coverage through an insurance broker, which allows control over premium, benefit amount, and coverage length. Some LTD policies may also extend coverage to age 70, so it is important to review your policy carefully.
Is it legal for employers to limit disability coverage to age 65?
Key case example: Gauthier v. Ignace (Township), 2026 HRTO 48
In this case, Mr. Gauthier, a full-time employee over age 65, lost access to his LTD coverage and filed an application with the Human Rights Tribunal of Ontario, claiming age discrimination. The Tribunal found no discrimination, citing Employment Standards Act regulations that allow employers to set a clear age limit for disability coverage. This decision confirms that age caps in LTD policies are legal and not discriminatory.
It is legal for employers to limit long term disability coverage to age 65 and there is no discrimination by virtue of that age limitation.
What options are available for employees working past 65 for LTD?
Employees continuing to work after age 65 have several options to maintain disability protection:
- Private Disability Insurance: Purchase coverage through a broker to control premium, benefit amount, and coverage duration.
- Extended LTD Policies: Some policies may extend coverage to age 70. Check your policy before assuming coverage ends at 65.
- Review Employer Policies: Ensure you understand your employer’s LTD plan, including age limits and benefit caps.
Proper planning helps employees avoid gaps in income protection in case of injury or illness.
Frequently asked questions about long-term disability coverage in Ontario
Can my employer legally limit long-term disability coverage to age 65?
Yes. Employers may set an age cap for LTD coverage, and this is allowed under Ontario regulations.
Is limiting coverage to age 65 considered age discrimination?
No. The Human Rights Tribunal and Employment Standards Act allow age limits in LTD policies, so this is not discriminatory.
What options exist if I work past age 65?
Employees can purchase private disability coverage or check for extended LTD policies that provide benefits past 65, sometimes up to age 70.
Should I review my LTD policy if I’m over 65?
Yes. Always review your policy carefully to confirm coverage limits, benefit amounts, and any extension options.
Key takeaways
- Disability coverage varies depending on the policy purchased; better coverage often comes at a higher cost.
- Employers may legally limit LTD coverage to age 65 under Ontario law.
- Limiting coverage to age 65 is not age discrimination.
- Employees working past 65 can explore private coverage or check for policies extending benefits to age 70.
- Reviewing your policy and planning for coverage gaps ensures ongoing protection in case of illness or injury.
Why this matters in Ontario:
Whitten & Lublin is a Toronto-based employment law firm with extensive experience advising employees on long-term disability claims and benefits in Ontario. The firm provides guidance on LTD policy limits, age restrictions, and legal options for denied disability claims.
If you have questions or concerns about your disability coverage or a denied claim, Whitten & Lublin’s disability legal team can assist. Contact us online or call 416-640-2667 for a free consultation regarding your rights and options.
