April 2025

The Patented Medicine Prices Review Board (PMPRB) has recommended foregoing most of the current pricing tests for new brand name drugs entering Canada in an effort to focus more on drugs that are likely to be excessively priced. Going forward, they will only review whether the drug’s entry price exceeds the Highest International Price (HIP) amongst the 11 comparator countries. Other measures will only be introduced if the price exceeds HIP or if a complaint has been made. PMPRB is of the view this will allow it to focus on its mandate - protecting Canadians by ensuring that the prices of patented medicines are not excessive. We commend the PMPRB for incorporating several of CLHIA’s recommendations into their final proposal, but did reiterate our view that the Median International Price is the best measure when determining excessive pricing.

In March, the CLHIA provided recommendations to the federal government to promote economic stability and a more fiscally prudent use of resources in the next federal budget. We urged the federal government to support health benefit plans and minimize disruption to Canadians, as well as support universal access to medication through a mixed-payer system. 
  
The CLHIA also called on the government to: 

• ensure Canadians continue to be able to access virtual care services; 

• introduce amendments to allow the electronic delivery of documents by financial institutions to promote efficient delivery to customers; 

• leverage our industry’s investment capacity to support long-term sustainable infrastructure projects; 

• broaden the scope of Variable Payment Life Annuities and Advanced Life Deferred Annuities, and 

• re-think the introduction of sector-specific taxes to ensure our industry is not being unfairly targeted. 

On February 28, the CLHIA responded to the Competition Bureau's consultation on draft guidance on environmental claims and the Competition Act. 
 
The CLHIA recommended that the bureau: 

• clarify application of the act’s requirement for an “adequate and proper test” for non-physical products; 

• consider the nature of planning to meet net-zero goals and other long-term targets; and 

• consult with the public on its updated guidance with respect to private access to the tribunal. 

This consultation follows one done last fall where the Bureau sought comments on what should be included in the guidance. CLHIA’s response can be found here. The industry appreciates that the Bureau took a pragmatic approach and addressed many of the comments raised.
 

Recently, the CLHIA responded to a consultation by the Autorité des marchés financiers (AMF) on updates to their Climate Risk Management Guideline. 
 
While the CLHIA appreciates that the guideline is being updated to align with the recently released Canadian Sustainability Standards Board standards, we recommended that: 
 

• the timelines should be aligned for scope 3 disclosure in the AMF Climate Risk Management Guideline and AMF Climate Risk Returns (CRR); 

• the application date of this guideline as well as the CRR should be reconsidered given the current economic environment; and 

• the guideline should continue to be aligned with the requirements of the Office of the Superintendent of Financial Institutions’ Climate Risk Management Guideline (B-15). 

The CLHIA provided feedback on the Autorité des marchés financiers’ consultation regarding a new form for reporting information security incidents by certain financial institutions and by credit assessment agents. 

Included in our response was a proposal to make the reporting process more efficient with a common form for use by both federal and provincial regulators. Other more closely targeted recommendations were aimed at clarifying and simplifying sections of the form.  

On March 26, the CLHIA responded to the federal government’s consultation on retaliatory tariffs in response to US tariffs. 

The CLHIA argued that prescription and non-prescription medicines, medical products and medical equipment should not be the target of retaliatory tariffs. These products must remain barrier-free to avoid higher prices, shortages and treatment interruptions. 

We also recommended that retaliatory tariffs not be applied to medications, diagnostic-related items or other supplies used in healthcare or health research. 

It is critical that the government not take any policy action that would raise the costs of health products at a time when Canadians’ largest concern is affordability. 
 

In February, the CLHIA responded to a consultation conducted by the Autorité des marchés financiers (AMF) regarding its new climate risk disclosure requirements. The aim of these new requirements is to collect, directly from insurers, standardized data on climate emissions and exposures. 

The industry asked the AMF to consider the following measures:  
 

• Postponing the effective date of disclosure by one year, to December 31, 2026, to allow insurers to comply with the new requirements without undue cost or effort. 

• Adding a statement to specify that data submitted by insurers under the new disclosure requirements can be submitted on a best-effort basis, which would ensure consistency in the AMF’s expectations included in the Climate Change Risk Management Guideline. 

Decisions - March 2025

CLHIA’s monthly digest of recent judicial decisions, and news of appeals is now available. The March issue of Decisions includes summaries of recent court judgments dealing with cases involving:
 

• STD benefits being terminated because of the plaintiff leaving the country and chronic low back pain constituting a pre-existing condition 

• Dismissal of a human rights complaint alleging age discrimination where an employer ceased contribution to an employee’s RRSP and DCPP at age 71 

• Upholding on appeal of a damages award in a wrongful dismissal action for LTD benefits up to age 65 

• A whistleblower protection law allowing for violations of law to be reported to the AMF being constitutional and not violating a chartered professional accountant client’s right to privacy 

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