I am happy to announce that the Board of Trustees approved a rate reduction for retirees during our January 7th Board meeting. This reduction will be effective March 1, 2016. The new rates are reflected in the table below.
Current Retiree Rate Effective March 2016
Retiree Only $810.55 $ 810.55
Retiree +1 $1,685.73 $ 1,400.00
Retiree +2 $1,795.66 $1,400.00
Retiree +3 $1,846.91 $1,400.00
Retiree +4 $1,900.53 $1,400.00
Retiree +5 $1,971.36 $1,400.00
Retiree +6 or more $2,009.79 $1,400.00
The rates you see above are subsidized by the Trust and do not reflect the total cost of coverage. The total cost of coverage for a single retiree with no dependents is actually in excess of $1,200 and if you add a spouse and dependents the coverage costs over $2,600. That means that the difference between what you pay per month and the actual total cost is covered by the Trust.
These rates will be in effect from March through December of 2016. Rates will be evaluated in September of 2016 for 2017. Rates are determined by looking at what we pay out for all expenses including claims for medical, dental, pharmacy and vision as well as the level of revenue that is generated from contributions made to the Trust from all of you. Please note that once you retire the contribution paid on your behalf by the Department stops. As a retiree, there is no reduction in benefits or a separate plan for you. You enjoy the same benefits you have today!
As you are planning your retirement or for those of you that have retired, don’t forget to factor in the benefits you may be eligible for through the Employee Benefit Trust (EBT) aka Retirement Trust. For those that retired prior to July 1, 2015, your maximum monthly benefit is $300. For those retiring on or after July 1, 2015, your maximum monthly benefit is $400.
When you remain with the Trust upon retirement, PERS will deduct your monthly contribution from your retirement check at the end of each month. For example, the contribution for January’s coverage will be taken out of the retirement check the last week of January. Once UMR receives and processes the payment, they will automatically enter a claim for you if you are eligible for EBT. If you have chosen automatic deposit, they will then directly deposit your reimbursement check into your account for you.
If you have any questions, you can reach me at 702-641-2160 or by email at Kelly.Taylor@metrohealthtrust.com.
Health Plan Director
844-339-8468 (secure fax)