What happened
A new Telus Health report on Canadian private drug plans shows more people using their coverage and a sharp rise in spending on a small number of expensive therapies, as reported by Talent Canada. In 2025, 61.8 per cent of insured plan members made at least one claim, up from 58.7 per cent in 2023.
Specialty drugs made up 33.9 per cent of total eligible drug spend, though only 2.1 per cent of claimants used them. Ultra-high-cost drugs, such as Trikafta and Ultomiris, were 5.2 per cent of spend and were used by 0.03 per cent of claimants. The average eligible amount for those claimants was $190,446.32 a year.
Two shifts are coming. Generic Ozempic is expected in late 2026 at about 35 per cent of list price. Meanwhile, the national Pharmacare Act for diabetes drugs is expected to reduce private plan exposure as more provinces join. Claimants aged 45 to 64 are 38.5 per cent of claimants but 56.4 per cent of spend. Costs also vary by region, with Atlantic Canada growing fastest and Quebec showing the highest annual cost per claimant at $1,355.25.
Why it matters if you are hiring
Benefits are part of the offer, and they are getting more expensive to hold steady. If you employ an experienced workforce, the 45 to 64 spending figures apply to you directly. Plant teams, finance staff, sales leaders and senior operations people often sit in that age range, and they tend to value strong drug coverage.
That creates a tension. Cutting coverage can weaken your offer for the experienced hires you are trying to land. Holding it flat can raise renewal costs. Expect your finance lead and your benefits advisor to push for plan design changes, such as biosimilar and generic substitution, and your HR lead to ask what you can promise candidates.
If you hire across provinces, remember that drug costs and public coverage differ by region. A plan that looks the same on paper can cost very different amounts in Quebec, the West and Atlantic Canada.
One thing to do this week
Ask your benefits advisor for your plan's specialty drug share and your biosimilar and generic uptake, then compare them with the report's figures: 67.4 per cent biosimilar use among biologic claimants and 70.8 per cent generic share of claims. Decide before your next offer round what you can say about coverage.
Traverse Staffing helps employers across Canada and the US find experienced operations, finance, manufacturing and sales people, and we can help you think through what a competitive offer needs to say.