Retirement from WSU and Medical/Dental Options Available t hrough PEBB

1. Retirement from WSU and Medical/Dental Options Available through PEBB Presented by: Ann Monroe, Human Resource Services May 2011

2. Topics • Eligibility for PEBB Retiree Insurance • Enrolling in PEBB Plans • Deferring PEBB Coverage • Medicare and PEBB Options • VEBA • Resources

3. Eligibility for Retiree Medical & Dental Insurance • WSURP • Age 62 regardless of years of service, no draw required • Age 55 with 10 years of service, no draw required • Or upon proof of draw from WSURP • PERS 1 & 2 • Must draw from PERS upon separation to be eligible for retiree medical • PERS 3 • Age 55 with 10 years of service, no draw required

4. Enrolling in the PEBB Plans • Must pursue/defer retiree coverage within 60 days of retirement • There will be no break in coverage between the active employee plan and the retiree coverage • If you do not enroll or defer at the time of retirement, will not be able to pick coverage back up in the future • Coverage under the retiree plans is the same coverage you have as an active employee • Must pursue Medicare Coverage if Eligible

5. Deferring PEBB Retiree Coverage • May defer retiree medical/dental coverage if able to be covered under another group employer plan • If spouse/partner has PEBB coverage, able to transfer to their policy • May exercise the deferment at a future time, should group coverage become available • When other employer coverage ceases, able to remove deferment and activate retiree coverage • Coverage is and must be continuous

6. Possible Insurance Option • COBRA Bridge • If not eligible for the retiree coverage at the time of separation, but within 18 months of being eligible • Could enroll in COBRA to bridge up to 18 months • Then convert the COBRA policy to the Retiree Coverage

7. Medicare/SocialSecurity Medicare is a Health Insurance Program for people age 65 or older – www.medicare.gov For Individuals enrolling in PEBB plan at retirement: • Medicare Part A (Hospital) – Must Enroll! • Medicare Part B (Medical) – Must Enroll! • Medicare Part D (Prescription) – Do Not Enroll! • Exception – Medicare Supplement Plan F Prior to retirement, or while covered under an group employer plan, Medicare will recognize the Employer plan as primary. Many people opt not to enroll in Part B while on an Employer plan.

8. PEBB Options and Medicare • *Group Health - Classic, Value, and Medicare Advantage • *Kaiser - Classic, and Senior Advantage • *Secure Horizons (Not available if family member is not Medicare eligible). • Uniform Medical Plan (Regence) • Medicare Advantage, Classic and Value • Medicare Supplement Plan F (Primarily supplements Medicare services) All PEBB plans coordinate benefit payments with Medicare (except Supplement Plan F) *When enrolled in Medicare A & B, you may be required to enroll in Medicare Advantage option.

9. VEBA • A Medical Expense Account which provides retirees* with tax-free funds to be used to reimburse qualified out-of-pocket health care expenses and premiums. • Contributions, earnings and withdrawals are tax free. • One-quarter (25%) of eligible sick leave balance is paid into this account. • Payout is invested • Build your own asset allocation portfolio • Select one of four pre-mixed asset allocation portfolios • *Note: Teaching and Research Faculty are not eligible to have sick leave cashed-out.

10. Resources • Human Resource Services • hrs.wsu.edu | 509.335.4521 | hrs@wsu.edu • Medicare • ssa.gov | 800.772.1213 (National) | 877.405.9796 (Lewiston) • Health Care Authority • hca.wa.gov | 800.200.1004 • VEBA (Plan Administrator – Meritain Health) • veba.org | 888.828.4953 | myvebaplan@meritain.com • TIAA-CREF • tiaa-cref.org | 800.842.2252 • DRS • www.drs.wa.gov | 800.547.6657 | recep@drs.wa.gov • SHIBA • www.insurance.wa.gov/shiba | 1.800.562.6900 • www.doi.idaho.gov/shiba | 1.800.247.4422