The government of Saskatchewan announced in its 2017 budget that it would include travel medical insurance premiums, previously tax exempt, in its list of goods and services that would be subject to PST. The decision drew condemnation from the Canadian Snowbird Association (CSA), which announced that it would oppose the measure.
“The change will make Saskatchewan the only jurisdiction in Canada which collects retail sales tax on travel medical insurance premiums and will increase the cost of travel insurance for Saskatchewan residents,” said Karen Huestis, president of the Canadian Snowbird Association.
“The Canadian Snowbird Association (CSA) is firmly opposed to the planned application of PST to travel medical insurance premiums in the province. We urge the Saskatchewan government to keep travel medical insurance premiums tax exempt, as they are in every other province and territory in the country.”
Supplementary travel medical insurance is a necessity for those who travel outside of Canada, as the government of Saskatchewan only reimburses travellers a maximum of $100 per day for emergency in-patient hospital care received abroad.
The Canadian Snowbird Association, which numbers 100,000 members, is a non-profit, non-partisan organization representing Canadian travellers from across the country. The CSA works in partnership with government and business to advocate on behalf of all travelling Canadians.