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Post-Retirement Medical Benefits (PRMB)

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Frequently Asked Questions

Frequently Asked Questions re: Post-Retirement Medical Benefits (PRMB)

Questions from Those Already Retired

I am a current UVM retiree. I understand that there will be no changes to my PRMB plan (including the percentage of my contribution). Is that correct?

Yes, that is correct. As a current retiree, no change is being proposed to your PRMB. Currently-retired employees will continue to be eligible to participate in the University's defined benefits PRMB plan with the cost-sharing formula that is currently in place.

If I am already retired, will there be changes in the percentage of my contribution to PRMB?

No, currently-retired employees will continue to be eligible to participate in the University’s defined benefits PRMB plan with the cost-sharing formula that is currently in place.

How will changes to the PRMB plans affect the University dental plan?

Changes to the PRMB plans pertain only to medical plan options and cost-share formulas, and no changes to the University dental plan have been proposed.

I am a current retiree and my PRMB plan covers both my wife and me. Is my spousal coverage going to change?

Current retirees will experience no change to their current PRMB plan coverage for their spouse and dependent children.

Questions from Those Contemplating Retirement

As background for this section, information about age and years of service is listed on the Eligibility page.

I will have attained the age and years of service to retire by June 30, 2014. What are my options? How do I decide which option is in my best interest?

There are many personal factors and circumstances that you will need to consider as you plan for retirement; only you can make the decision that is best for you. Consider your personal expenses, lifestyle, interests and obligations as you decide whether to keep working or whether to retire.  Make use of the many resources available to you as you plan ahead: consult with your retirement fund vendor(s), Medicare and Social Security agents as well as other service providers for retired persons such as AARP. Additionally, employee advisors in HRS are available to meet with you to help you think through your options. Call 656-3150 to set up an appointment.

I will have attained the age and years of service to retire by June 30, 2014, but I will not be age 65. I wish to keep working until I am 65 or older and want to know what I should expect.

If you are 65 or older at retirement, and if you retire after June 30, 2014, you will be able to retire under the cost share structure that has been outlined in Table 2.

I will have attained the age and years of service to retire by June 30, 2014, but I will not be age 65 by that date. Can I retire on the current PRMB plan?

Yes, if you have attained the age and years of service to retire by June 30, 2014, you may retire under your current PRMB plan and cost-share structure, as long as you do so by June 30, 2014. Be careful however to evaluate the big picture and engage in thoughtful conversations with retirement planners to make sure that it is in your best interests to retire early. (Call 656-3150 to set up an appointment with an employee advisor if you are considering retirement.)

Will spousal benefits be changing for those who retire after June 30, 2014? Will they still be offered? Will dental benefits be offered?

Changes to the PRMB plans currently pertain only to medical plan options and cost-share formulas, and there has been no discussion of changes to spousal benefits or the dental plan. The University has expressed a commitment to maintain access to coverage for spouses and dependents.

If I retire in the future, will I be able to purchase medical benefits coverage for my dependents through the PRMB plan?

Yes. The University has expressed a commitment to maintain access to coverage for spouses and dependents.

Questions on the “Schedule of Monthly Costs for Medical Insurance—Non-Represented”

(This information was included as Appendix A and Appendix B in the PRMB letter from former President Fogel dated March 16, 2011)

What is the Medi-Comp III plan? Is it still available?

Medi-Comp III was the old Medicare Supplement Plan which was replaced by BCBSVT J Carve-Out Plan. It is only available to those retirees who are currently enrolled in it.

If I am a current retiree on the old Medi-Comp III plan, will that plan be changing?

No, there are no proposed changes to the Medi-Comp III Plan. Current retirees will continue to be eligible to participate in the University’s defined benefits PRMB plan with the same cost-sharing formula that they have been using since retirement.

What is the BCBSVT J Carve-Out plan?

The BCBSVT J Carve-Out plan is a medical insurance plan which supplements Medicare (after Medicare pays their portion of the invoice, then BCBSVT will pay) and provides prescription drug coverage similar to that offered to active employees. J Carve-Out is only available to individuals who are eligible for, and enrolled in, Medicare Parts A & B as a result of retirement or disability.

Under both the Medi-Comp III plan and the J Carve-Out plan, why is only the “Single Coverage” column completed? Is this insurance going to continue to be available for a spouse and dependents? What does this cost look like?

Medi-Comp III and J Carve-Out costs are shown as “Single Coverage” because they are medical insurance plans (or Medicare Supplement Plans) offered by UVM to supplement Medicare. Medicare is an individually-based health insurance program for people who are age 65 and older or who qualify for SSDI (disability). Retirees and dependents covered under these programs are actually on individual plans (a single plan for the retiree and a single plan for the spouse). To determine the cost for a retiree and spouse you would multiply the amount shown by two—assuming both the retiree and spouse are age 65 or older. (The plan is more expensive if a participant is under age 65, but the University would still pay the same percentage of the premium.)

NOTE: Participation in the J Carve-out plan requires enrollment in Medicare Parts A & B. While there is currently no cost for Medicare Part A, new enrollment in Medicare Part B in 2010 was $110 per person, per month.

What is the significance of the “Total Monthly Premium” listed on the retiree plans?

The Total Monthly Premium represents the entire (monthly) cost which UVM is charged for each type of coverage (employee, employee and spouse, etc.) under the plan.

Last Modified Wednesday, January 4, 2012 1:04 PM

Last modified January 04 2012 01:04 PM

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