The permanent disability supplement goes to people who were injured before 1990 and who receive the permanent partial disability benefit and meet certain eligibility criteria. This is also referred to as the 147 (4) or Old Age Security supplement.
Previously, the maximum amount for this supplement was the federal Old Age Security monthly amount. The exact amount paid depends on a person’s situation and claim limit.
The legislative changes have removed this limit for the purpose of indexing the benefit payment.
Before January 1, 2018, those receiving the PD supplement may have received quarterly increases if the federal Old Age Security (OAS) went up.
There are no longer quarterly indexation increases because people are receiving the fully indexed amount at the beginning of each year.*
In the past, the PD supplement could not exceed the quarterly federal OAS amount therefore we could not always provide the fully indexed PD supplement amount at the beginning of each year. Each quarter as the federal OAS amount was raised, we could also increase the PD supplement.
Now, we will fully index the PD supplement by the Consumer Price Index (CPI) on January 1st of each year, even if it is above the federal OAS amount. So, those receiving the PD supplement will receive full CPI indexing for the whole year instead of waiting for potential increases each quarter.
*It is important to note that for new supplements or claims with a material change, on or after January 1st of that year, people may still receive quarterly adjustments to their supplement payments until the following January 1st. After that, the supplement amount payable will be indexed once at the beginning of the year.
For example, if someone starts receiving a new PD supplement or experiences a material change on April 5, 2018, they may receive an increase to their PD supplement in July 2018 and October 2018 if the federal OAS amount increases. Then, on January 1, 2019 the PD supplements amount payable will be indexed by CPI and they will receive stable monthly PD supplement payment going forward for 2019.
The permanent disability supplement additional amount goes to workers who were injured before 1990 who are receiving permanent partial disability benefits (or received a lump sum commuted from such an amount) and who are eligible to receive the permanent disability supplement- or would be eligible if they weren’t receiving federal Old Age Security. It is awarded if they still have claim room. This is also referred to as the 147 (14) or Bill 165 supplement.
Previously, when someone received the permanent disability supplement additional amount and became eligible for federal Old Age Security, and this put them above their claim limit, they received a reduction to the additional amount.
The legislative changes mean that there are no longer reductions to this supplement because of federal Old Age Security eligibility. This supplement is still limited by a person’s claim limit.
As a result of legislative change, when someone becomes eligible for federal OAS we will no longer use the federal OAS amount to calculate the PD supplement additional amount. In these circumstances, there will no longer be a reduction to the PD supplement additional amount.
Workers who are entitled to the permanent disability supplement additional amount on, or after, April 27, 2017, and whose permanent disability supplement additional amount payment was previously reduced (including being reduced to $0) may be eligible for retroactive payments upon request.
The legislation mandates that those who want retroactive payments must make a request. If you want to know if you are eligible you can call us. We will track your request and contact you once your claim is reviewed.
The legislative changes in effect as of January 1, 2018 impacted a large volume of claims and we are currently working through the requests we have received. We apologize for any delay and will address your request as soon as possible. We will inform you once this has been reviewed. Thank you for your patience.