EDMONTON — Two costly changes to the Alberta Health Care Insurance Act take effect on October 1, due to Bill 11 (the Health Statutes Amendment Act, 2025, no. 2).
Effective Thursday, Alberta’s public drug and supplementary health benefit plans officially become the “payor of last resort”, meaning private plans will have to pay first before government-sponsored plans kick in. As well, employers will need to maintain employer-sponsored coverage for all active employees, including those over 65 years old who are eligible for provincially negotiated Alberta Blue Cross Coverage for Seniors. Both changes mean that employers providing private health insurance to employees will face higher premiums upon renewal, just to maintain existing coverage.
“We have said all along that Bill 11 isn’t really about health care — it’s an insurance bill. In fact, it’s a gift to the for-profit insurance industry, which has admitted it has been working hand in hand with the government to push forward these changes,” said Chris Gallaway executive director of Friends of Medicare. “At every turn, the Alberta government is working to undermine public plans and the notion of single-payer health care altogether. From raising co-pays on seniors’ drug benefits, to kicking tens of thousands off of the plan and de-listing services altogether, we have seen consistent changes to erode public benefits while boosting the profits of the private insurance industry. All of this is driving up costs for Alberta businesses, employers, and workers at a time when affordability and health care access are of top concern.”
Heading into the Alberta Municipalities’ Convention last week, Friends of Medicare and the Canadian Centre for Policy Alternatives, released a new fact sheet on how Bill 11 will impact municipalities that provide health benefits to employees, as changes are implemented this fall.
“This is yet another example of the provincial government downloading health care costs onto employers, including our already stretched municipal governments,” said Gallaway. “We heard loud and clear from municipal leaders last week that health care is a top issue in their communities. Everywhere in Alberta, people want action when it comes to access, and they overwhelmingly don’t want to have to pay out of pocket for the health care they need.”
These two changes are only the beginning of the costly changes coming for employers, workers, and all Albertans seeking to access health care. Bill 11 is a sweeping, 300-page piece of legislation that establishes an unprecedented model of American-style, two-tier health care access in Alberta by allowing physicians to work in both the public and private systems simultaneously, including charging patients out of pocket on a “case-by-case basis.” Also being implemented is Bill 29 (another massive Health Statutes Amendment Act), which opens the door to two-tier diagnostic services.
“The changes the Alberta government is making will see Albertans’ ability to access health care based on our ability to pay or by what private insurance we have — a full-on American approach to health care,” said Gallaway. “What the Alberta government is doing will mean record profits for private health insurance corporations, at the direct expense of rising employer benefit plan costs. Albertans should brace themselves for access to health care that is less equitable and more costly.”
Friends of Medicare continues to call on Albertans and employers to speak up and say no to a two-tier American-style approach to health care that relies on the insurance industry for access, by sending a message to their federal representatives.
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