2817.This section explains what constitutes a health or employment risk for the purposes of section 735. It is based on section 580A of ICTA.
2818.Subsections (1) and (2) define “health risk” and “employment risk” respectively. Subsection (2) treats a policy that insures against loss of office as an employment risk while section 580A(3)(b) of ICTA, on which it is based, does not. See Change 123 in Annex 1.
2819.Subsection (3) expands on what is meant by “insurance against a risk”. Benefits under this type of insurance are often not restricted to providing an indemnity against a particular liability. This subsection makes it clear that the exemption is also intended to cover benefits other than indemnities.