Mon. Feb 9th, 2026

Canada to Introduce Health-Care Co-Payments for Refugees and Asylum Seekers Starting May 1

Beginning May 1, Canada will require many refugees and asylum seekers to contribute toward certain health-care costs under changes to the Interim Federal Health Program (IFHP), a move that has sparked concern among doctors and settlement advocates.

Under the new policy, government-assisted refugees, privately sponsored refugees in their first year in Canada, and asylum seekers who arrive at the border will be required to co-pay 30 per cent of the cost for supplemental health services such as dental care, optometry and physiotherapy. In addition, a flat $4 fee will be charged for each prescription medication.

Basic health coverage under the IFHP will remain unchanged. Refugees and asylum seekers will continue to receive full coverage for visits to doctors and specialists, hospital care, and diagnostic services.

Immigration officials say the co-payment model is intended to ensure the long-term sustainability of the program amid rising demand. The federal government estimates IFHP expenses reached $896.5 million in the 2024-25 fiscal year, an increase of more than $300 million from the previous year. The number of beneficiaries has also grown sharply, rising from just over 90,000 a decade ago to more than 623,000 last year.

Advocacy groups and health-care providers warn the new fees could discourage vulnerable newcomers from seeking care during a critical period of settlement. Physicians who work with refugee populations say even modest costs can add up quickly for patients managing chronic conditions or trauma-related health needs.

Doctors also argue that delaying access to dental, vision, and mental health services may ultimately lead to higher costs and poorer outcomes, making it harder for newcomers to stabilize their health and integrate into the workforce.

The changes echo past reforms introduced by the former Conservative government in 2012, which sharply reduced refugee health benefits and were later overturned by the Federal Court. At the time, the court ruled the cuts were discriminatory and unconstitutional, leading to the restoration of full coverage under the subsequent Liberal government.

The federal government notes that refugee claim volumes have declined significantly in recent years, falling from more than 190,000 claims in 2024 to just over 108,000 in 2025, largely due to stricter border enforcement and visa controls.

Despite the decrease, officials maintain that co-payments are necessary to manage program costs as Canada continues to respond to global displacement pressures.

The new policy will apply nationwide and take effect May 1, 2026.

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