Sec. 10-183t. Health insurance: Plans maintained by Teachers' Retirement Board and boards of education; state payment of premiums on behalf of members; use of one per cent voluntary contributions.
Sec. 10-183t. Health insurance: Plans maintained by Teachers' Retirement
Board and boards of education; state payment of premiums on behalf of members;
use of one per cent voluntary contributions. (a) The retirement board shall offer one
or more health benefit plans to: Any member receiving retirement benefits or a disability
allowance from the system; the spouse or surviving spouse of such member, and a
disabled dependent of such member if there is no spouse or surviving spouse, provided
such member, spouse, surviving spouse, or disabled dependent is participating in Medicare Part A hospital insurance and Medicare Part B medical insurance. The board may
offer one or more basic plans, the cost of which to any such member, spouse, surviving
spouse or disabled dependent shall be one-third of the basic plan's premium equivalent,
and one or more optional plans, provided such member, spouse, surviving spouse or
disabled dependent shall pay one-third of the basic plan's premium equivalent plus the
difference in cost between any such basic plans and any such optional plans. The board
shall designate those plans which are basic and those plans which are optional for the
purpose of determining such cost and the amount to be charged or withheld from benefit
payments for such plans. The surviving spouse of a member, or a disabled dependent
of a member if there is no surviving spouse, shall not be ineligible for participation in any
such plan solely because such surviving spouse or disabled dependent is not receiving
benefits from the system. With respect to any person participating in any such plan, the
state shall appropriate to the board one-third of the cost of such basic plan or plans, or
one-third of the cost of the rate in effect during the fiscal year ending June 30, 1998,
whichever is greater.
(b) Any member who is receiving retirement benefits or a disability allowance from
the system, the spouse or surviving spouse of such member, or a disabled dependent of
such member if there is no spouse or surviving spouse, and who is not participating in
Medicare Part A hospital insurance and Medicare Part B medical insurance, may fully
participate in any or all group health insurance plans maintained for active teachers by
such member's last employing board of education, or by the state in the case of a member
who was employed by the state, upon payment to such board of education or to the state,
as applicable, by such member, spouse or surviving spouse, or disabled dependent, of
the premium charged for his form of coverage. Such premium shall be no greater than
that charged for the same form of coverage for active teachers. The surviving spouse
or disabled dependent shall not be ineligible for participation in any such plan solely
because such surviving spouse or disabled dependent is not receiving benefits from the
system. No person shall be ineligible for participation in such plans for failure to enroll
in such plans at the time the member's retirement benefit or disability allowance became
effective. Nothing in this subsection shall be construed to impair or alter the provisions
of any collective bargaining agreement relating to the payment by a board of education
of group health insurance premiums on behalf of any member receiving benefits from
the system. Prior to the cancellation of coverage for any member, spouse or surviving
spouse for failure to pay the required premiums or cost due, the board of education or
the state, if applicable, shall notify the Teachers' Retirement Board of its intention to
cancel such coverage at least thirty days prior to the date of cancellation. Absent any
contractual provisions to the contrary, the payments made pursuant to subsection (c) of
this section shall be first applied to any cost borne by the member, spouse or surviving
spouse participating in any such plan. As used in this subsection, "last employing board
of education" means the board of education with which such member filed his initial
application for retirement, and "health insurance plans" means hospital, medical, major
medical, dental, prescription drug or auditory benefit plans that are available to active
teachers.
(c) On and after July 1, 2000, the board shall pay a subsidy equal to the subsidy
paid in the fiscal year ending June 30, 2000, to the board of education or to the state, if
applicable, on behalf of any member who is receiving retirement benefits or a disability
allowance from the system, the spouse, or the surviving spouse of such member, or a
disabled dependent of such member if there is no spouse or surviving spouse, who is
participating in a health insurance plan maintained by a board of education or by the
state, if applicable. Such payment shall not exceed the actual cost of such insurance.
With respect to any person participating in any such plan pursuant to subsection (b) of
this section, the state shall appropriate to the board one-third of the cost of the subsidy.
No payment to a board of education pursuant to this subsection may be used to reduce
the amount of any premium payment on behalf of any such member, spouse or surviving
spouse, or disabled dependent, made by such board pursuant to any agreement in effect
on July 1, 1990. On and after July 1, 2008, the board shall pay a subsidy of two hundred
twenty dollars per month on behalf of the member, spouse or the surviving spouse of
such member who: (1) Has attained the normal retirement age to participate in Medicare,
(2) is not eligible for Part A of Medicare without cost, and (3) contributes at least two
hundred twenty dollars per month towards his or her medical and prescription drug plan
provided by the board of education.
(d) The Treasurer shall establish a separate retired teachers' health insurance premium account within the Teachers' Retirement Fund. Commencing July 1, 1989, and
annually thereafter all health contributions withheld under this chapter in excess of
five hundred thousand dollars shall, upon deposit in the Teachers' Retirement Fund, be
credited to such account. Interest derived from the investment of funds in the account
shall be credited to the account. Funds in the account shall be used for payments to boards
of education pursuant to subsection (c) of this section and for payment of premiums on
behalf of members or surviving spouses of members participating in one or more health
insurance plans pursuant to subsection (a) of this section in an amount equal to the
difference between the amount paid pursuant to said subsection (a) and the amount paid
pursuant to subsection (c) of this section. If, during any fiscal year, there are insufficient
funds in the account for the purposes of all such payments, the General Assembly shall
appropriate sufficient funds to the account for such purpose.
(P.A. 78-208, S. 19, 35; 78-228, S. 5, 8; P.A. 79-625, S. 5, 6; P.A. 84-451, S. 2; May Sp. Sess. P.A. 86-1, S. 47, 58;
P.A. 87-10, S. 1, 2; 87-410, S. 2, 3; P.A. 89-342, S. 4, 5; P.A. 90-308, S. 4, 15; June Sp. Sess. P.A. 91-10, S. 5, 20; P.A.
98-155, S. 1, 2; P.A. 00-187, S. 59, 75; P.A. 03-232, S. 11, 12; P.A. 05-98, S. 1; P.A. 06-190, S. 5; P.A. 08-112, S. 1.)
History: P.A. 78-228 required board to pay 10% of individual and additional coverage on and after July 1, 1978; P.A.
79-625 specified applicability of section to group health insurance plans; P.A. 84-451 added provision requiring board to
pay, on and after July 1, 1984, for each member receiving a disability allowance, 30% of portion of premium charged for
his individual coverage and 30% of any additional cost for his form of coverage; May Sp. Sess. P.A. 86-1 added the
requirement that a member be eligible for Medicare Part A to have the board withhold from benefit payments and pay
premiums on health insurance plans and that the board shall not allow participation in such a plan by anyone who is not
eligible for Medicare Part A, increased the amounts which the board shall pay from 10% to 25% and for members receiving
disability from 30% to 45% of the portion of the premium charged for individual coverage, added Subsec. (b) providing
for participation in group health insurance plans maintained by boards of education, and made other technical changes;
P.A. 87-10 clarified provision in Subsec. (b) re participation by member or member's spouse in group health insurance
plans maintained for active teachers and added provision that premiums for coverage shall be no greater than that charged
for same form of coverage for active teachers; P.A. 87-410 amended Subsec. (a) to allow surviving spouse of a member
receiving benefits at the time of death to participate in insurance plans and to provide that surviving spouse is not ineligible
for participation solely because such spouse is not receiving benefits from the system; P.A. 89-342 added Subsecs. (c) and
(d) re payment of health insurance premiums on and after July 1, 1990; P.A. 90-308 amended Subsec. (c) to change date
on which board begins making payments from July 1, 1990, to June 1, 1990; June Sp. Sess. P.A. 91-10 clarified that
provisions of Subsecs. (b) and (c) re participation in health insurance plans and payment of premiums by board apply to
a "spouse or surviving spouse" rather than a "spouse" and defined "last employing board of education" for purposes of
Subsec. (b), effective October 2, 1991, and applicable to membership or participation in teachers' health insurance plans
on and after July 1, 1991; P.A. 98-155 amended Subsec. (a) to delete provision authorizing board to withhold funds from
a member or surviving spouse's benefit payment and pay on such person's behalf, premiums on one or more group health
insurance plans and to delete provision requiring board to pay 25% of the premium charged for individual coverage and
25% of any additional cost for such person's form of coverage, to delete provision requiring board to pay 45% of the
premium charged for any member receiving a disability retirement allowance and 45% of any additional cost for such
person's form of coverage, to substitute provision requiring board to offer one or more basic plans, at no cost, to any such
member, spouse or surviving spouse of such member and one or more optional plans, provided such person pays the
difference in cost between any such basic plans and any such optional plans, and to add provision concerning amount of
state's appropriation to the board for the cost of such basic plan or plans, amended Subsec. (b) to include any member
receiving a disability allowance, to provide that a surviving spouse shall not be ineligible for participation solely because
such spouse is not receiving benefits, to specify application of payments made pursuant to Subsec. (c) and to define "health
insurance plans", and amended Subsec. (c) to delete requirement that board pay 100% of premium costs for participants
in plans offered by the board and an equal dollar amount for participants in plans offered by boards of education and to
specify amount of board's payment and amount of state's appropriation to the board for the cost of such basic plan or
plans, effective July 1, 1998; P.A. 00-187 added provisions re a disabled dependent if there is no spouse or surviving
spouse, in Subsec. (a) changed the provision for the offering of basic plans to members from no cost to a cost of 25% of
the basic plan's premium equivalent, in Subsec. (c) changed the requirement for the board to pay, on and after July 1, 1998,
an amount equal to the cost of a basic health insurance plan to a requirement to pay, on and after July 1, 2000, a subsidy
equal to the subsidy paid in the fiscal year ending June 30, 2000, and made technical changes, effective July 1, 2000; P.A.
03-232 amended Subsec. (a) to substitute "one-third" for "twenty-five per cent" re cost of plans, and amended Subsec. (c)
to make a technical change, and to substitute "one-third" for "twenty-five per cent" re cost of subsidy, effective July 1,
2005, and amended Subsec. (d) to substitute "health contributions" for 1% contributions, effective July 1, 2003; P.A. 05-98 amended Subsec. (a) to replace requirement that persons be eligible for Medicare Part A with requirement that persons
be participating in Medicare Part A as condition for membership in health insurance plans maintained by retirement board
and made technical changes, effective July 1, 2005; P.A. 06-190 amended Subsecs. (a) and (b) to require participants in
health benefit plans to be covered by Medicare Part B medical insurance, effective July 1, 2006; P.A. 08-112 amended
Subsec. (c) to require board to pay a subsidy, on and after July 1, 2008, of $220 per month for each recipient who meets
specified criteria, effective July 1, 2008.