More than half of Gen Z’s long-term disability claims stem from mental health disorders, significantly outpacing other age groups, according to new data from Sun Life.
The insurer analyzed data from over 20,000 employers and 3 million plan members, revealing that mental health disorders account for over 50 per cent of long-term disability claims among Gen Z employees, compared to approximately 40 per cent for the overall population.
The findings come as Gen Z, those born between 1997 and 2012, is projected to dominate Canada’s workforce by 2030.
Antidepressant use growing faster among young workers
Gen Z antidepressant drug claims grew at twice the rate of all plan members between 2021 and 2024, according to the report.
Among Gen Z men specifically, antidepressant use increased over 50 per cent during the three-year period, growing faster than overall members and outpacing growth among Gen Z women.
For Gen Z women, mental health disorders account for over 60 per cent of long-term disability claims. Women in this age group use mental health therapy at twice the rate of men.
Despite lower overall usage, more Gen Z men are accessing mental health support. Growth in Gen Z men’s visits to psychologists outpaced Gen Z women and grew almost twice as fast as overall members.
Chronic disease claims rising
Drug claims for chronic diseases are growing two to three times faster among Gen Z employees compared to other age cohorts, the data shows.
Claims for diabetes drugs grew two to four times faster among those under 30 compared to those between 30 and 60 years old. Among Gen Z, diabetes drug claims for women are growing 40 per cent faster than men’s.
Drug claims for asthma, chronic obstructive pulmonary disorder, high blood pressure and high cholesterol also show significantly higher growth rates among Gen Z workers.
While chronic disease incidence among Gen Z employees remains lower than older cohorts, the growth rates suggest today’s Gen Z employees could face significantly greater chronic disease rates by middle age compared to current 40- to 59-year-olds.
Workplace implications
“This generation is coming of age in a world shaped by economic uncertainty, climate anxiety and digital overload and it’s clear that they need more than just a paycheque,” said Marie-Chantal Côté, Senior Vice-President, Sun Life Health.
The report identifies factors including climbing obesity rates, sedentary lifestyles and unhealthy diets as contributors to declining physical health among young Canadians.
Sun Life offers health solutions including Lumino Health Virtual Care provided by Dialogue and flexible personal and health spending accounts as options for employers supporting Gen Z workers.
