New UC retiree health rules
On December 13, 2010, the Regents voted to change some of UC’s retiree health and pension programs.
Beginning July 1, 2013, UC will adopt a new formula for contributions toward retiree health benefits. Approximately 46% of the current UC employee population will be grandfathered under the existing eligibility rules, while the remainder of employees will be subject to the new rules.
‘Grandfathering’ provision
UC faculty and staff will remain under current retiree health care eligibility rules if, by June 30, 2013, they meet both of the following criteria:
- Have five years of UC Retirement Plan service credit;
- Their age (in whole years) plus their years of service credit is equal to, or greater
than, 50.
Three retiree health eligibility groups
As of 7/1/2013, retirees who are eligible for UC's contribution toward medical and dental insurance will fall into three graduated eligibility (G.E.) groups:
- No G.E. - Employees who originally joined UCRP prior to 1990 are generally not subject to graduated eligibility and qualify for 100% of the UC contribution.
- G.E. - Employees who joined UCRP in or after 1990 (and Safety employees hired on or after July 1, 2013) are subject to the current graduated eligibility rules if they meet the grandfathering requirements above.
- New G.E. - Newer employees who do not meet the criteria listed above by June 30, 2013 (except Safety employees, hired on or after July
1, 2013) are subject to the new graduated eligibility requirements.
For more information, see The Facts: Retiree Health.
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