DGPFSS

Strength through personnel Le personnel fait la force

DGSSPF

Canadian Forces Personnel and Family Support Services

SISIP Financial ServicesPresentation to NPP BOD

André Bouchard President

10 February 2010

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

Provider of financial services to the Canadian Forces since 1969 in a Non-Public Property

framework on behalf of the Chief of the Defence Staff through DG Personnel and

Family Support Services

SISIP FINANCIAL SERVICES…

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

AGENDA ITEMS

Mandate, LocationsProducts & Services ResultsChallengesKey Initiatives – 2010Financial Contributions to CF CommunityQuestions

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

MANDATE

Delivery of…

Sound financial solutions:• We are committed to enhancing the financial well-being of the CF community through tailored and unbiased financial solutions; thereby contributing to operational readiness and effectiveness

M&W Financial Contributions:• From generated revenue.

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

           

    

               

 

           

              

                 

  

                          

 

             

   

             

 

            

   

24 Financial Planners21 Financial Counsellors14 Insurance Representatives 2 Financial Educators

LOCATIONS

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

Licensed insurance representatives, certified financial planners, financial counsellors and educators…

• Guide military personnel and their families towards financial solutions that meet their needs

• Salaried employees, not on commission

• Provides professional and unbiased financial services

OUR TEAM

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

Product CF Member CF Spouse Former CF Member

Former CF Spouse

Financial Planning

Life Insurance

Long Term Disability

Vocational Rehabilitation Program

Accidental Dismemberment Insurance Plan

Financial Counselling

CFPAF

Education

TO WHOM?

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

PRODUCTS & SERVICES

Government of Canada Supported Plans

• Long Term Disability (LTD) Provides medically released personnel with guaranteed income protection and Vocational Rehabilitation Services

Enhancements effective 1 April 2009

GOC pays premiums for all medical conditions directly attributable to military service

GOC pays 85% of premiums for all medical conditions not attributable to military service, member pays 15%

• General Officers’ Insurance Plan (GOIP)

Term Life Insurance• Guarantees payment of claims, even if someone dies in a theatre of operations such as Afghanistan

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

PRODUCTS & SERVICES (cont’d)

CF Accidental Dismemberment Plan

(service-attributable)

Financial Counselling

Canadian Forces Personnel Assistance Fund

Personal Financial Management Education

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

RESULTS 2009

Life Insurance

• 137K insured persons

• $26B insurance in force

• $34M paid out

Long Term Disability

• >102,900 injured CF members

• >3,000 Active claimants

• >2,800 on VRP

• $43M paid out

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

RESULTS 2009 (cont’d)

ADIP• $3.1M paid out to 28 claimants• $7.8M since inception in 2003

Financial Planning• Almost 5,900 clients with over $161M in money

under management

CFGroupRSP• Over 4,500 serving and former members with

$153M invested

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

RESULTS 2009 (cont’d)

Financial Management Education• Over 9,400 CF members educated through BMQ,

BMOQ, PLQ and ILQ

Financial Counselling• Over 9,000 members assisted

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

Canadian Forces Personnel Assistance Fund (CFPAF) enhancements• Self Improvement Loan Program (SILP): The

maximum amount for a loan under the SILP program will increase to $5,000 as of 1 January 2010

• Minor Disbursements (MD): The maximum amount for MD will increase to $200 from $100 as of 1 January 2010

RESULTS 2009 (cont’d)

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

RESULTS 2009 (cont’d)

CFPAF - LOANS AND GRANTS ISSUED

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

2004 $957,893 $8,552,170 $2,655,500 $17,225

2009 $2,258,383 $9,327,785 $2,189,100 $13,195

Distress SILP EALPMinor

Disbursement

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

CHALLENGES

Reinsurance:

Issue:• Requirement: $740M.• Difficult to find full war risk coverage.• Premium: Excessive ≈ $10M for ≈ $125M of capacity.

Action:• Explore option of a government backstop

o Government to pay all claims attributable to military service .

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

CHALLENGES (cont’d)

Morale and Welfare Contributions:

Issue:

• Ability to financially contribute to the same level (≈ $4M/yr);

• Financial markets; and• Impact of the reinsurance premium on net operating

income.

Action:

• Maintain profitable line of business.• Generate investment income from SEG Fund.• Reduce re-insurance premiums

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

KEY INITIATIVES - 2010

Program enhancements to LTD & VRP:• reviewing options and assessing impact of changes• request TB’s approval on suggested enhancements

Increase key books of business:• financial planning and life insurance

Increase visibility & services to OUTCAN personnel and families Continue financial support CF community programs:• MW , VOREP, March 1st I Quit, VOREP, CF Youth, Sports Award

Ceremony, Local Events and AccessDevelop and implement a new Insurance Management platformFeasibility to introduce new insurance product

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

Beyond the commitment of providing quality financial solutions, our financial

contributions to M&W are intended for the sole benefit of the CF community at

large…

FINANCIAL CONTRIBUTIONS

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

FINANCIAL CONTRIBUTIONS (cont’d)

2002-2009 – $44 M in total contributions

CF Community / Communauté des FC

$18000

$50000

$100000

$800000

$800000

$200000

$309000

$2700000

Morale and Welfare Unit Grants/ Subventionspour le bienêtre et le maintien du moral

CF Youth P rogram/ P rogramme pour les jeunesde familles de militaire des FC

Volunteers Recognition P rogram/ P rogrammede reconnaissance des bénévoles

Annual Sports Awards Ceremony/ Cérémonie annuelle du mérite sportif

OP S Santa Claus/ Opération P ère Noel

SISIP FS Local Community Events/ Activitéscommunautaires locales des SF RARM

"March 1st I Quit" P rogram/ Le défi “le 1er marsj’arrête !”

Other NP P contributions and activities/ Autrescontributions et activités Biens non publics

Total financial contributions to the CF in 2009/ Total des contributions finacières aux FC en 2009 $3,642,300

CANADIAN FORCES PERSONNEL AND FAMILY SUPPORT SERVICESSERVICES DE SOUTIEN AU PERSONNEL ET AUX FAMILLES DES FORCES CANADIENNES

SISIP FINANCIAL SERVICES

Celebrating 40 years as the provider of Financial Solutions

for the Canadian Forces!

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