6. Disability Benefits

What happens if you can no longer work? OMERS can help your pension continue to grow – free of charge, or we can provide you with disability income.

What if I become disabled?

If you are totally disabled:

• you may continue to earn OMERS credited service while you remain disabled, without paying OMERS contributions. This is called a "disability waiver of contribution"; or
• you may be eligible to receive a disability pension if you are totally and permanently disabled.

Disability waiver (earn pension while on disability)

A disability waiver enables you to continue to earn credited service without contributing to the OMERS plan. OMERS covers the cost of your and your employer's contributions. The waiver begins on the later of:

• the first day of the fifth month after you become totally disabled – the end of the disability elimination period; or
• the day after you cease to make contributions.

The waiver continues until:

• you are no longer totally disabled; or
• you elect to receive a termination benefit; or
• you return to work other than an OMERS-approved rehabilitation program; or
• you retire.

Am I eligible for the disability waiver?

To be eligible for the disability waiver, you must meet OMERS legal definition of "totally disabled," which means: you are incapable of doing your own job during the first 24 months of physical or mental disability and, thereafter, incapable of doing any work for which you are, or may reasonably become, qualified by education, training, or experience.

At any time after your disability waiver benefit begins you may elect a disability pension, provided you meet eligibility requirements for permanent disability. If you are not eligible for a disability pension you may be eligible for an early retirement pension.

Disability pension

If you become totally and permanently disabled, you may be eligible for a disability pension instead of a disability waiver.

The disability pension can begin on the later of:

• the first day of the fifth month after you become totally disabled (disability qualifying period); or
• the first of the month following the month you elect a disability pension after being on the disability waiver.

The disability pension continues until:

• you reach your normal retirement age and your disability pension becomes an OMERS normal retirement pension; or
• you no longer meet the definition of totally and permanently disabled (you may be eligible for an early retirement pension); or
• you return to work, other than an OMERS-approved rehabilitation program.

Am I eligible for the disability pension?

To be eligible for the disability pension, you must meet OMERS legal definition of "totally and permanently disabled," which means: you are suffering from a physical or mental impairment which prevents you from engaging in any occupation or performing any work for compensation or profit for which you are, or may reasonably become, qualified by education, training, or experience, and which can be expected to last the rest of your lifetime.

How is the disability pension calculated?

We use your earnings and service in the standard formula to calculate the disability pension. Your disability pension is not reduced if you do not meet the unreduced retirement pension provisions, i.e. 30 years of service or the early retirement factor. See "The building blocks of an OMERS pension."

OMERS and WSIB limit

There is a limit to the combined disability benefits you can receive from the Workplace Safety and Insurance Board (WSIB) and OMERS. The limit is 85% of your regular contributory earnings immediately before you were disabled. If you exceed the limit, we must reduce your OMERS disability pension until you reach age 65 (or age 60 for police officers and firefighters), or until your WSIB benefit stops.

If you become entitled to a WSIB benefit after your pension begins, or if the amount you are receiving changes (except for cost of living increases), please notify OMERS immediately.

Purchasing the elimination period

The period between the date of disability and the date a waiver or disability pension begins is a disability-qualifying period. We call this an elimination period.

If you did not make regular contributions to OMERS during this time, you have the option of purchasing none, all or part of this period. Choosing to purchase this period fills in any service gaps between when contributions stop and OMERS disability benefits begin.

The cost is the contributions you would normally have paid during the period. If you buy the period, your employer matches your contributions.

After the deadline, you can choose to purchase the service at a cost reflecting the present-day value of the future benefit. See Buying back past service.