Scotiabank Increases Mental Health Coverage to C$10K

Scotiabank (BNS) announced Tuesday that it will expand mental health benefits available to all eligible employees and their dependents in Canada.

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The value of this annual coverage will increase from C$3,000 to C$10,000 on April 1, 2022. Scotiabank will also launch, starting November 17, live workshops on mental health for all people managers in Canada. (See Analysts’ Top Stocks on TipRanks)

Dominic Cole-Morgan, SVP, Total Rewards, said, “We were concerned as we were seeing an increased uptake in use of mental health benefits and know employees are seeking support from their team and employer when it comes to mental health.

“Increasing our benefits coverage and support for mental health are necessary to help our team members to thrive for every future, and we’re pleased to announce the expansion of our mental health coverage as part of our commitment to support employees and family wellbeing.”

Access to Psychologists

All employees enrolled in the Canadian Benefits Plan will receive C$10,000 in mental wellness services coverage for themselves and their eligible dependents as part of their basic coverage.

This expanded coverage includes services such as access to a clinical counselor or psychologist, Internet-based cognitive behavioral therapy, and more.

Mental Health Workshop and Global Event

Starting November 17, people managers across Canada will be able to register for a new mental health workshop, which will help them develop the skills to support employees and reduce stigma in the workplace.

In addition, in order to continue to shape a safe environment in which employees feel comfortable talking about mental health and other issues with their manager, the bank will host a global corporate event for people leaders.

Wall Street’s Take

On November 1, Credit Suisse analyst Mike Rizvanovic maintained a Hold rating on BNS and a price target of C$84. This implies 1.8% upside potential.

The rest of the Street is cautiously optimistic on BNS with a Moderate Buy consensus rating based on five Buys and four Holds. The average Bank of Nova Scotia price target of C$86.97 implies 5.4% upside potential to current levels.

TipRanks’ Smart Score

BNS scores a 9 out of 10 on TipRanks’ Smart Score rating system, indicating that the stock returns are very likely to beat the overall market.