Optional Coverage is for people not automatically covered under the workers' compensation system. This includes proprietors, partners in a partnership, and elected or appointed officials of a Yukon First Nation. If you are injured at work and your claim is accepted, loss of earnings benefits are paid in accordance with Policy 3.1 Loss of Earnings Benefits.
The following persons can apply for Optional Coverage
- a proprietor,
- a partner in a partnership, and
- a Yukon First Nation for elected or appointed officials
Coverage starts on the date the board approves the application.
Optional Coverage ends automatically on December 31 or on the date you specified in your application, whichever is the earliest.
It is important to base the coverage purchased on proven earnings. We use this amount to determine the loss of earnings benefit amount an injured worker may be eligible to receive in the event of a work-related injury. Coverage can be purchased up to the maximum annual earnings amount.
Once Optional Coverage is in place, if you or your worker is injured at work and the claim is accepted, benefits will be provided in accordance with the Act and policies. See the section “Receive benefits and services for accepted claims” on the claims process page.
Short-term loss of earnings benefits
Short-term loss of earnings benefits for the first 90 days that the worker has a loss of earnings capacity due to a work-related injury, are based on the estimate of earnings provided in the application for optional coverage (amount purchased), up to the maximum annual earnings.
For example, if the amount of coverage purchased is $60,000, the short-term loss of earnings benefit will be based on annual earnings of $60,000. In this example, the short-term loss of earnings benefit would be 75% of $60,000.
Long-term loss of earnings benefits
Long-term loss of earnings benefits are based on the lesser of:
- the estimate of earnings provided in the application for Optional Coverage, and
- the injured worker’s loss of earnings capacity as calculated under Policy 3.1 Loss of Earnings Benefits (subject to the maximum annual earnings).
Continuing with the example above, if the injured worker’s annual earnings for the two previous years was $55,000 and $45,000, the long-term loss of earnings benefits would be based on $55,000 as this is the lesser of the amount purchased (which was $60,000) and the highest earnings from the two prior calendar years. The long-term loss of earnings benefit would be calculated as 75% of $55,000.
Benefit rates table
The benefit rates table shows the estimated loss of earnings benefit you would receive if injured, whether that’s based on the annual coverage amount you selected (short-term benefit) or your proven earnings (long-term benefit).
|Coverage amount/annual earnings||Approximate bi-weekly loss of earnings benefit|
The cost of Optional Coverage varies based on the amount and duration of coverage purchased, and the relevant industry. The minimum annual assessment premium is $150.
For a photographer, your industry rate $1.67.
- If you apply for annual coverage of $25,000 for the entire year, we calculate the cost of your coverage as $25,000 x $1.67/$100 = $417.50.
- If you work March to October only, you can get coverage for that period. We calculate the cost of your coverage as $25,000 x $1.67/$100 ÷ 365 days x 245 days (Mar. to Oct.) = $280.23.
Once your Optional Coverage is in place, it remains in effect until you or we cancel it (or until it automatically ends on December 31 or on the date you specified in your application).
If you wish to cancel, let us know by completing and submitting the Cancellation of Optional Coverage form. We may cancel your coverage if you fail to pay your premiums on time.
Once it’s cancelled, you will need to re-apply if you wish to take out coverage again.
Complete the Optional Coverage Application form. We will review your application and get back to you.
Please contact us with any questions.