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Government cuts leave veterans dealing with private insurance firm for health benefit claims

shutterstock_185768099.jpgA recent move by the federal government would have Canada’s veterans dealing with a third-party insurance firm for health-care treatment benefits such as massage therapy and physiotherapy.

On Feb. 11, the federal government announced that it would be eliminating 44 positions at Veterans Affairs Canada. The cuts represent the final step in the contracting-out of treatment authorization for ill and elderly veterans to Medavie Blue Cross.

February 24, 2015  By CNW Newswire

While veterans used to be able to have their benefit claims decided
by knowledgeable public service workers, they will now have to deal with
a private insurance company. This will have a significant impact on
services for veterans, according to a press release from the Public
Service Alliance of Canada (PSAC).

Under the old system, veterans
who experienced service-related medical conditions were granted
"treatment benefits," in consultation with their doctors and a Veterans
Affairs Case Manager. These benefits are often considered more crucial
than financial compensation, because they provide meaningful support for
veterans to live their lives. This can include psychology,
physiotherapy and massage therapy, among other services.

In the
past, the treatment plan was sent to a Treatment Authorization Centre
for final approval and payment. This involved complex work, requiring
knowledge of Veterans Affairs policy and the needs of each individual
veteran. It also required that public service workers exercise both
patience and compassion, as they helped high-needs veterans access all
of the benefits to which they were entitled, the PSAC said.

Affairs client service agents used to call veterans every year and help
them make sure that they were accessing the benefits they need. Now,
Blue Cross sends a letter and cuts the veterans off if they can’t reach
them by phone. It can take three months or more for veterans to have
their benefits re-instated once they’ve been cut off,” the PSAC
statement said.


"Veterans are being forced to deal with a private
insurance company whose mandate is to try and deny claims," says Carl
Gannon, national president of the Union of Veterans Affairs Employees
(UVAE). Gannon is a former front-line worker at Veterans Affairs and has
extensive experience helping veterans with disability claims.

many veterans, these treatments mean the difference between life and
death," said Gannon. "Clients suffering from serious mental illness due
to their experience in the military must be handled with tact and
patience. I seriously doubt that Medavie Blue Cross will be able to do
this effectively."

Veteran Ron Clarke agrees. Based in Sydney,
Nova Scotia, Clarke has already dealt with the closure of the Veterans
Affairs office in his city and the frustration of having to wait on the
phone to access services. He says that the contracting-out of treatment
authorization will only make the situation worse.

"We know what
insurance companies are like," says Clarke. "They find every excuse to
deny us the benefits we deserve. Veterans have already fought for our
country and now we shouldn’t have to fight Blue Cross to get the help we

PSAC and UVAE are demanding that the government bring
treatment authorization back in-house at Veterans Affairs and re-open
the nine district offices that were closed across the country last year.
They are also demanding a moratorium on any further cuts at Veterans
Affairs Canada.

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