The Medicus Pension Plan reported a strong financial position with 152% funded status and announced enhanced benefits for physician members, including extended guarantee periods and full inflation protection for recent pension earnings.
The plan’s annual report, released Tuesday, showed a 9.1% return for 2024 and provided 100% inflation protection for all pensions earned between 2022 and 2024, including a 4.0% increase for 2024.
Two new benefit features were introduced to strengthen financial security for members and their families. The plan now includes a 15-year guarantee period on its base pension option, while all spousal pension options have a 10-year guarantee period alongside existing lifetime spousal protection.
Enhanced security features respond to member feedback
“Medicus has established a strong foundation that allows us to offer value to our members in many ways,” said Simone Reitzes, managing director of the Medicus Pension Plan. “By providing inflation increases and extending guarantee periods – in response to feedback provided by our members – we can further support physicians and their families over time.”
The guarantee periods ensure beneficiaries receive financial protection regardless of circumstances, while inflation adjustments help maintain purchasing power as living costs rise.
Plan designed for physician mobility needs
Medicus operates as a defined benefit multi-employer pension plan created specifically for physicians across Canada. The plan offers geographic mobility, allowing members to maintain their pension benefits when moving between provinces or practices.
“Physicians want to focus on patients, they don’t want to worry about planning for retirement. Medicus delivers a future we can count on,” said Dr. Joss Reimer, president of the Canadian Medical Association. “I look forward to seeing this available as an option to physicians across the country.”
Tax advantages and institutional investment access
The plan provides tax benefits through contributions that are generally deductible to physicians’ professional corporations. Member assets are pooled in a single trust fund, providing access to institutional investment management and opportunities typically unavailable to individual investors.
Medicus is registered under Ontario’s Pension Benefits Act and the federal Income Tax Act. The plan includes physician representation on its administrative board.
“It is inspiring to see the positive impact we’re making on the financial well-being of the growing community of physicians across Canada who have chosen Medicus,” said Reitzes.
The plan advises physicians to consult with financial advisors to determine if Medicus aligns with their retirement planning needs and income objectives.
