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February 7, 2011

New Retiree Health Insurance Continuation Process
(State Employees Only)

The Department of Employee Trust Funds (ETF) recently enhanced the myETF Benefits System to report retiree health insurance continuation by adding a new cancellation of coverage reason - Retirement.

This new process will:

  • make a cursory eligibility evaluation;
  • cancel the existing contract; and
  • create a new contract as a retiree.

ETF developed this because of the Group Insurance Board's decision to end a state employee's eligibility for the state employer's premium contribution at the end of the month following the date a state employee terminates employment, including termination for retirement. This change became effective January 1, 2012. Previously, retiring state employees had up to two months of prepaid health insurance premiums to use that included the employer premium contribution before their annuitant coverage needed to be in place for uninterrupted, continuous health insurance coverage.

Typically, the sick leave certification process takes at least 30 days to complete. The new Retirement cancellation process allows an employee to use his or her estimated Accumulated Sick Leave Conversion Credit (ASLCC) to pay for state health insurance premiums on the first of the month following retirement.

Please note that this is an interim process. We will notify employers when a long-term solution is available. Click on the following image for screen shots and instructions to guide you through this new process.

If you have questions, please contact ETF Retiree Services at 1-877-533-5020.


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