Costs

The following outlines the costs associated with a PHSP provided by HealthSmart. With the exception of the claim fees relating to individual claims, all services provided by HealthSmart are GST/HST exempt. If you are an employee of a company under the managed plan, you are not responsible for paying any of these fees.

Enrolment Fee – Both Plans – $100

To cover adminstration costs involved with establishing a new account, a one time enrolment fee of $100 is levied. There is no GST/HST on this fee.

Ontario Premium Tax – Both Plans

The Ontario Premium Tax is a tax levied by the Ontario government against any PHSP in Ontario. If this plan is administered in Ontario, the payment is to be paid by the administrator (this is the situation with HealthSmart). If it is administered outside of Ontario the tax is to be paid by the plan holder. If a PHSP does not mention this fee then it is likely that they are administered outside Ontario and this tax would be your responsibility to remit. The fee is 2% of all claim amounts as well as 2% of the administration fee. At HealthSmart, this fee is charged at the same time as the administration fee for your plan.

Ontario Retail Sales Tax – Both Plans

The Ontario Retail Sales Tax is a tax levied by the Ontario government against any PHSP in Ontario. If this plan is administered in Ontario, the payment is to be paid by the administrator (this is the situation with HealthSmart). If it is administered outside of Ontario the tax is to be paid by the plan holder. If a PHSP does not mention this fee then it is likely that they are administered outside Ontario and this tax would be your responsibility to remit. The fee is 8% of all claim amounts as well as 8% of the administration fee. At HealthSmart, this fee is charged at the same time as the administration fee for your plan.

Statement of Claims – Single Family Plan – $25

The Single Family Plan does not normally include any statements of claim. It is up to the Planholder to maintain their own statements. Should a statement be required, it can be provided. The statement will cover a one year period specified by the Planholder (usually a calendar year) and will cover all of the members of the family. On the statement will be a list of all expenses submitted, what the expense was for, and whether the claim was approved or rejected. This statement costs $25.

Administration Fee

For each claim made, a fee is charged in the amount of 10% of the total medical expenses claimed. GST is charged on this fee (but not on the medical expenses themselves). The total claim charge, including medical expenses, administration fee, and GST is fully tax deductible to your business.