About OTIP Group of Companies
Starting as a not-for-profit insurance advocate, the OTIP Group of Companies (OGC) has evolved into one of the largest providers of long-term disability, health, and dental insurance in Canada. Today, they are also a leading provider of home, auto, life, and retiree benefits. By partnering with top-tier companies, OGC continues to shape and innovate customized products and services, ensuring they consistently meet the evolving needs of their members.
The Challenge
Enhancing Employee Financial Security at No Extra Cost
Already known for its competitive total compensation package, OGC wanted to further demonstrate its commitment to employees by upgrading its defined contribution (DC) pension plan to a defined benefit (DB) plan.
OGC recognized a DB plan would provide its employees with predictable, lifetime retirement income while eliminating the need to make pension-related investment decisions. They believed this enhancement would boost employee engagement and strengthen attraction and retention efforts.
However, they were concerned about the costs and administrative complexities often tied to traditional DB pensions. Focused on improving retirement security, OGC meticulously researched its workplace pension options to find the best value for both the organization and its workforce.
The Solution
Meeting High Expectations with DBplus
CAAT Pension Plan’s modern and innovative DBplus plan design checked all the boxes on OGC’s pension checklist. Implementing DBplus meant OGC would gain fixed contribution costs and eliminate the need to manage its legacy DC plan. Employees, in turn, would benefit from a secure retirement income without the worry of outliving their retirement savings.
CAAT’s onboarding team further supported OGC by providing a due diligence package along with multiple webinars and information sessions for both employers and employees. These educational resources helped OGC make an informed decision that aligned with its organizational goals and employee needs.
The Results
Boosting Employee Engagement and Growing Together
Initially, 677 full-time OGC employees enrolled in DBplus, with part-time and contract staff also invited to participate. Since joining CAAT, OGC has grown significantly, acquiring nine brokerages and expanding its workforce to 1,128.
OGC credited DBplus with improving employee well-being, engagement and organizational culture.
In 2023, three years after implementing DBplus, OGC reported an increase in its Employee Engagement Survey results. When asked to respond to the statement, “I am satisfied with the benefits I receive at this company,” 90% of employees agreed, exceeding the global norm by 23%.
OGC also highlighted CAAT’s exceptional support and service, ensuring a smooth transition and fostering a strong ongoing partnership.
OTIP Group of Companies (OGC) Seeks Robust Pension Plan
With its flexibility and innovation, CAAT’s DBplus pension plan design is able to meet the unique needs and budgetary requirements of all kinds of organizations, by offering:
For larger unionized employers like Sanofi, DBplus enables cost certainty in their pension offering:
- ✔Fixed costs
- ✔No administrative or service fees
- ✔Simple accounting
- ✔Communication and education services
- ✔Valuable benefits that meet employee expectations
DBplus enables organizations across Canada to offer a world-class pension to give employees what they want and need - at affordable contribution levels.