Get Started

Our 3 steps to understanding and selecting the right benefits for you


Watch the Video

Why Group Benefits?

2. Find the right approach

3. Get the Quote


Our most popular plans with premium coverage and stable rates






Franchise Program


Experience Programs


Benefits Management


Group RRSP


Individual Insurance for your and your family


Simplified Planner


Contact us


Our Story


FAQ and Forms

Target Loss Ratio and Group Benefits

Benefits, Claims, Health

We are frequently asked how to explain how TLR’s work.

What is TLR?

TLR is short for Target Loss Ratio. When selling an employee benefit plan, one thing many insurance agents would definitely keep their distance from discussing is the target loss ratio of your group plan. Many insurance companies do not disclose it in the quote to the agents – the agent has to ask for it.

First off, what is Target Loss Ratio?

Target Loss Ratio or TLR is the insurance companies projected profit point of the extended health and dental benefits of your employee benefit plan. It is the maximum dollar amount of claims paid by the insurance company expressed as a percentage of your premium. Every insurance company has expenses, such as claims administration, tax, commissions, printing costs etc. These expenses are added together and represented as a %, which is then deducted from 100%, to determine the TLR.

Investopedia provides a simple example. If a company pays $80 in claims for every $160 in collected premiums, the loss ratio would be 50%.

The TLR is primarily determined by the number of members on the plan and the amount of annual premium paid. In addition, loss ratios vary depending on the type of insurance. For example, the loss ratio for health insurance tends to be higher than the loss ratio for property and casualty insurance. Loss ratios help assess the health and profitability of an insurance company.

Furthermore, TLR has almost nothing to do with changes in premium at renewal, unless there has been a significant increase or decrease in the number of staff members on a plan. However, even then, it is not usually going to change the TLR more than a few percentage points at most.

We hope this has helped you to understand what TLR’s are and how they work.

One of the most important things to us is client priorities. We want to make sure you end up with a plan you’ll love and be satisfied with. Click here to read our latest blog on Client Priorities.

Please contact an advisor today for more information!

Follow Us On Social Media!

Looking at Benefit Plans for your business?

Health and Dental Premium Relief Extended for June

Health and Dental Premium Relief Extended for June

The health and dental premium reduction we provided to plan sponsors for April and May gave relief in real-time. In implementing this, it reflected the anticipated decrease in plan member health and dental claims due to pandemic closure of service providers. We...
Support For Small Businesses

COVID 19: Support For Small Businesses In BC

Small Business BC Support For the latest information on small business supports, resources and advisory services during COVID-19, please visit Small Business BC. Advisors are ready to help by phone at 1-800-667-2272, email and daily digital meetups. See how COVID-19...
Prescription Drug Cost

Prescription Drug Costs Breakdown

Understanding the total cost of a prescription drug claims means learning the 3 main components: 1) Ingredient Cost Actual cost the pharmacy pays the drug company or wholesaler to buy the drug. 2) Pharmacy Markup Percentage charged to cover the expenses involved in...
Why we ask for detailed quote information

Why Ask For Detailed Quote Information?

Why we need detailed quote information from your current plan? Detailed Quote Information tells us a story, enabling us to create the right solution Getting involved in a Group Benefits program is different than purchasing a commodity. Most consumers are...
long term disability

Non Evidence Maximums for Long Term Disability plans is pleased to announce new Non-Evidence Maximums (NEM’s) for Long Term Disability in our Pooled Programs. The following enhanced LTD Non Evidence Maximum table applies to new business in both our Essentials and Lifestyle programs:                    ...

Medical Cannabis Coverage

Groups with over 100 lives can request to add medical cannabis coverage to their Extended Health coverage. Medical Cannabis Coverage In October of 2018, recreational marijuana will be legalized in Canada. The legalization of recreational marijuana has sparked a...

Experience-Rated Program: Finding Facts

Since the launch of our Experience-Rated Program, we get asked to provide both Pooled and Experience-Rated quotes. We believe the 1st priority is to understand the client need and what outcome they are trying to achieve. Fact-Finding - A Better way to do... Pooled Programs – YTD Performance

We just completed our monthly review and thought I would share an update on the YTD performance of the pool: Fiscal year-end: Nov 30 Renewal rate implementation: June 1 As of August 31, 2018 we are 9 months into our fiscal year Claims are below target for...