Update: Short-Term Disability plans changing due to increase in Employment Insurance maximum insurable earnings

The federal government announced the 2026 Employment Insurance (EI) rates and maximum amounts. Below are the new rates and the start date.

This change affects Short-Term Disability (STD) plans where:

• the maximum benefit reflects the EI maximum weekly benefit ($729 for 2026), or
• the EI maximum earnings amount ($68,900 for 2026) is used to work out the STD benefit amount.

What you need to know

If your plan is Insurer-Administered (IA), you won’t need to amend your contract if your STD maximum is based on the EI maximum weekly benefit or earnings. You’ll see this change on your January invoice. Weekly benefit or earnings for disability claims starting on or after January 1, 2026 will be adjusted based on the 2026 EI maximum weekly benefit or earnings.

If your plan is Policyholder-Administered (PA) and you prepare your own statement, you must include these changes in your systems and processes. You’ll also need to update your billing statement with the new applicable STD amounts.

If your plan has an STD maximum amount that is less than the EI weekly maximum of $729, let us know whether you’d like to amend your plan. We can adjust the STD benefit to reflect the new EI maximum weekly benefit amounts. If you use a lower benefit amount, your plan won’t qualify for the EI premium reduction program.

Plan sponsors who want to match the EI maximum should update their booklet wording to say, “the EI Maximum benefit or earnings,” rather than show a dollar amount. This will prevent the need for annual revisions due to EI maximum increases.

Questions? We’re here to help.

If you have fewer than 50 employees, please contact your Client Service Specialist at 1-877-786-7227.

If you have more than 50 employees, please contact your Sun Life Group Benefits representative.