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Higher CPP Benefits Translate to Longer Life: Study

By July 21, 2009
Greg Barratt

The Office of the Chief Actuary published a Canada Pension Plan (CPP) Mortality Study last week that included a few interesting points:

 

  1. There is a correlation between longevity and pension amount – the higher the CPP pension amount, the higher the beneficiary’s life expectancy. At age 60, male beneficiaries with a maximum pension are expected to live there years longer, and female beneficiaries 2 years longer, than beneficiaries with a lower pension.
  2. Canadians are expected to receive benefits from the CPP for a longer time period as we all live longer. By 2050, male beneficiaries are expected to receive retirement benefit for an additional 3.3 years for males, and 2.3 years for females, compared to the same study in 2005.
  3. Actuaries believe the CPP will be properly funded for the next 75 years.

Just a few interesting facts I thought I’d pass along. To read the full report, click here.

 

About the author

Greg Barratt

Executive Vice President - Business DevelopmentCowan Insurance Group

Greg is the EVP Business Development at Cowan Insurance Group. He is responsible for the management of the sales and business development activities at Cowan with particular emphasis on commercial…

1 Comment

Hi Greg,

Interesting stuff! Who knew that actuarial science could be a predictor of longevity! I'm not one to rely solely on the CPP as a self-employed person. So does that also mean the more retirement funds we save in our own RRSP's, the longer we'll live? If so, there's a pretty good incentive to save!

I look forward to your next post.

Cheers,

Sarah


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July 21, 2009
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Greg Barratt

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