July 27, 1944

CCF

Stanley Howard Knowles (Whip of the Co-operative Commonwealth Federation)

Co-operative Commonwealth Federation (C.C.F.)

Mr. S. H. KNOWLES (Winnipeg North Centre):

I should like to address a question to the Secretary of State in his capacity as custodian of enemy property. In view of the interview that took place yesterday between a number of cabinet ministers and a delegation representing the Ukrainian Labour Fanner Temple Association concerning a request for return of certain properties or proper recompense therefor, is the minister able to make a statement on the matter?

SETI8ID ramON

Veterans' Insurance

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   DEFENCE OF CANADA REGULATIONS
Sub-subtopic:   UKRAINIAN LABOUR FARMER TEMPLE ASSOCIATION -QUESTION AS TO RETURN OF PROPERTY
Permalink
LIB

Norman Alexander McLarty (Secretary of State of Canada)

Liberal

Hon. N. A. McLARTY (Secretary of State):

I think the only reply that I can give to the question of the hon. member for Winnipeg North Centre is the one that was given to the delegation yesterday, namely, that the government will give consideration to the matter and as soon as it arrives at a decision that decision will be announced. I think the hon. member will realize that the government should not act on any ex parte statement and should consider very carefully all phases of the matter.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   DEFENCE OF CANADA REGULATIONS
Sub-subtopic:   UKRAINIAN LABOUR FARMER TEMPLE ASSOCIATION -QUESTION AS TO RETURN OF PROPERTY
Permalink

VETERANS' INSURANCE


Hon. IAN A. MACKENZIE (Minister of Pensions and National Health) moved the second reading of bill No. 170, to provide for the insurance of veterans by the Dominion of Canada. Motion agreed to, bill read the second time and the house went into committee thereon, Mr. Bradette in the chair. Sections 1 to 8 inclusive agreed to. On section 9-Provision by contract for change of beneficiary.


NAT

Gordon Graydon (Leader of the Official Opposition)

National Government

Mr. GRAYDON:

Mr. Chairman, these

sections are going through rather quickly. Will the minister give some indication of the real purport of section 7, which deals with the designation of contingent beneficiaries?

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

In general this act has been redrafted for purposes of greater clarity. Sections 6, 7 and 8 taken together refer to beneficiaries. There is no real change from the old act, but the provisions of sections 4, 5, 6, 7 and 9 of the old act have been redrafted for greater clarity and incorporated in these sections. It was found by the officers when they went through the old act that some of the provisions were rather badly drafted. These have been redrawn, without any significant change except the change in principle which I announced in :he house the other day when I spoke on the *esolution. The significant change is in section 10 of the bill, and when we arrive at that section I shall be very glad to explain the real change which is intended.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink

Section agreed to. On section 10-Limit of benefits when death attributable to war service.


LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

I think I should explain the change here. Under both acts, if a pension is awarded to a person in the insurance beneficiary classes, the com-

IMr. Knowle* ]

muted value of the pension is deductible from the amount of insurance and an alternative insurance benefit, described below, is payable; but if the beneficiary is the wife or children of the insured, a minimum of $500 is payable plus the alternative insurance benefit, even though the pension is awarded to the wife. If, however, the wife of the insured is the beneficiary of the insurance and the pension is awarded to another person no deduction is made from the insurance money. As to the alternative insurance benefit under the old act it was the premiums paid on the amount of the deduction from the insurance, together with interest at 4 per cent, the total payable under the policy not to exceed the amount of insurance. Under the new act it will be the paid up insurance equity with respect to the amount of the deduction. Where the premium payment under the insurance is completed, as for example aften ten, fifteen or twenty years under ten, fifteen or twenty payment life contracts, the paid up insurance equity is the full amount of the insurance, so the new section 10 is a definite advance in regard to benefits to the beneficiary under the insurance.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
NAT

Gordon Graydon (Leader of the Official Opposition)

National Government

Mr. GRAYDON:

Perhaps the minister gave this information previously but what is the limitation on the amount of insurance a soldier can take out?

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

Under the old act it was $5,000. Under the present bill it is $10,000, with one limitation; that where an insured person had a policy of $5,000 under the old act, that person is limited to a total of $10,000 under the two acts. As an illustration, a member of the army in the last war might have a policy for $5,000. He cannot take out another pqlicy under this legislation for $10,000, but if he qualifies he can take out $5,000 under this bill and have his $5,000 under the old act.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
NAT

Gordon Graydon (Leader of the Official Opposition)

National Government

Mr. GRAYDON:

It occurs to me, of course, that this might be applicable to members of the veterans' guard.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

Exactly.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
NAT

Gordon Graydon (Leader of the Official Opposition)

National Government

Mr. GRAYDON:

This would not permit them to take out an additional policy for $10,000, but to have a total of $10,000. May I ask also whether the policies which this bill envisages will be in the nature of straight life policies, or whether there will be some special terms in them about which perhaps the committee should know something?

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

No; there is no provision for a straight life policy. There will be ten, fifteen and twenty

Veterans' Insurance

payment policies, to the age of sixty-five, and there is an age limitation of eighty-five for the payment of premiums which is in conformity with modern insurance practice, instead of a straight life policy. This would mean that all persons reaching the age of eightyJfive would not have to pay further premiums. That is according to modern insurance methods.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
NAT

Gordon Graydon (Leader of the Official Opposition)

National Government

Mr. GRAYDON:

Are these policies of a standard type, without any options at all in respect to the insurance?

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

Yes, there are options under certain sections of the bill, but it is in conformity with standard insurance practice except that in most cases, though not in all, the rates here are slightly lower than the rates of the standard insurance companies. Sections 6, 7, and 8 of the bill deal with those points. Perhaps I might give my hon. friend some specimen benefits, and with the consent of the committee I will place this table on Hansard:

Amount and plan of Duration at death of insured 20 Ages at Issue 35 insurance Whole Life (Old) Prems to 85 (New) Old New Old *\ New5 $ 536 $ 563 $ 556 $ 582$1,000 10 579 623 625 65620 697 732 810 7795 824 1.067 1.008 1.238$5,000 10 1.215 1.607 1.625 1,90420 Pay Life 20 2,273 2,592 3.294 3,0155 552 625 575 625$1,000 10 616 750 666 75020 788 1,000 912 1,0005 972 1,625 1,175 1,625$5,000 10 1,548 2,750 1,998 2,75020 2.096 5,000 4.212 5,000

It will be noted that there are slight increases under the new legislation in most cases but as in the $5,000 policy at age 35, where under the old legislation, after twenty years, the amount payable was $3294, and under the new legislation it will be $3,015.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
NAT

Gordon Graydon (Leader of the Official Opposition)

National Government

Mr. GRAYDON:

As I understand the

purpose of this legislation it is to give the veterans of this war an opportunity to take out insurance which the ordinary commercial companies do not regard as a favourable risk.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

That is correct.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
NAT

Gordon Graydon (Leader of the Official Opposition)

National Government

Mr. GRAYDON:

Following that principle, will there be any limitation upon the insurance a soldier may have on his life? I

suppose there will be regulations in that regard concerning what sort of risks even the government are prepared to take. I would hope that the government will not be too picayune in the matter and will make the risks as broad as possible so as to give the greatest possible number of our soldiers an opportunity to take the insurance.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink
LIB

Ian Alistair Mackenzie (Minister of Pensions and National Health)

Liberal

Mr. MACKENZIE (Vancouver Centre):

If my hon. friend will look at schedule B of the bill he will find certain regulations which are in exactly the same form as they were in the old Returned Soldiers' Insurance

Act. In most cases those regulations are just and also generous. There are certain cases however, in connection with which the minister could not accept applications. I have in mind certain incurable diseases, and I think that a restriction of that kind would be only fair. But in most cases, even where there is serious illness, applications would1 be accepted.

Topic:   QUESTIONS PASSED AS ORDERS FOR RETURNS
Subtopic:   VETERANS' INSURANCE
Sub-subtopic:   PROVISION OF LIFE INSURANCE FOR VETERANS OF THE PRESENT WAR
Permalink

July 27, 1944