Question Period Note: EXTENDING AUTOMATIC ENROLMENT FOR THE GUARANTEED INCOME SUPPLEMENT

Thousands of low-income seniors do not receive the benefits to which they are entitled. Why hasn’t the Government extended the automatic enrolment of the Guaranteed Income Supplement to all seniors?

• Our Government is committed to giving our seniors a better quality of life, including ensuring they receive the benefits to which they are entitled.

• Building on the success of our efforts to automatically enroll Old Age Security pensioners, in December 2017 we introduced automatic enrolment for the Guaranteed Income Supplement. This means that seniors who are automatically enrolled for the Old Age Security pension are also automatically enrolled for the Guaranteed Income Supplement, and will be put into pay for the Supplement if eligible.

• For the remaining half of new pensioners for whom we do not have sufficient information to put them into pay automatically, we introduced a simpler common application for both the Old Age Security pension and the Guaranteed Income Supplement.
• We also continue to examine ways of expanding the scope of automatic enrolment for the Guaranteed Income Supplement to as many seniors as possible.

In 2012, the Old Age Security Act was amended to include an automatic enrolment regime that eliminates the need for many seniors to apply for Old Age Security (OAS) benefits. This initiative reduces the burden for seniors of completing paper applications.

OAS automatic enrolment is being implemented in a phased approach. The first two phases of automatic enrolment, which were implemented in April 2013 and November 2016 respectively, allow the Department to automatically enrol seniors for the OAS pension when there is sufficient data available to determine their eligibility. Since its inception, about half of all new OAS pensioners have received their pension without the need to fill in an application.

In December 2017, the Government launched automatic enrolment for the Guaranteed Income Supplement (GIS). This measure ensures that all new pensioners who are automatically enrolled for the OAS pension will be assessed every year to determine their entitlement for the GIS. Approximately 18,000 seniors per month are automatically enrolled for both benefits.

For the remaining half of new OAS pensioners, the Department does not have sufficient information to put them into pay automatically. For these people, there remains a need for an application. However, to simplify the application process, since August 2018, seniors only need to file one application for both the OAS pension and the GIS.

Once an individual is either automatically enrolled, or applies for the GIS, they never have to reapply. As long as they file a tax return every year, the Department will automatically assess their eligibility.

While it is true that there are some seniors who are eligible for the GIS but do not receive it, the Department has reached out to all of these individuals for whom there is sufficient information to identify them. The current take-up rate for the GIS is estimated to be 91% (figure available for tax filers only).

KEY FACTS

• In 2012, the Old Age Security Act was amended to include an automatic enrolment regime. Since its inception, over 50 percent of all new Old Age Security (OAS) pensioners have received their pension without the need to fill in an application.
• In December 2017, the Government launched automatic enrolment for the Guaranteed Income Supplement (GIS) for seniors who are automatically enrolled for the OAS pension. Approximately 18,000 clients each month are automatically assessed for the GIS without the need to apply.
• The current GIS take-up rate is estimated to be 91% (figure available for tax filers only).