TITLE 36

Public Officers and Employees

CHAPTER 36-12

Insurance Benefits

SECTION 36-12-4.1



   § 36-12-4.1  Coverage of Medicare-eligible

retired employees. –

(a) The director of the department of administration shall ensure retired

employees access to Medicare-eligible retiree health care insurance. Under this

program, the state will establish a health reimbursement account (HRA) funded

by state contributions for each Medicare-eligible state retiree who elects to

receive health care insurance through the state-sponsored program.



   (b) The funds contained in the HRA may be utilized for any

eligible medical care expenses as defined in § 213(d) of the Internal

Revenue Code of 1986, as amended, which includes reimbursements for health care

insurance premiums.



   (c) The director of the department of administration shall

procure services to maximize consumer choice and options with respect to the

individual policies available to Medicare-eligible retirees.



   (d) The maximum state contribution to each Medicare-eligible

state retiree's HRA account will be equal to the lowest-cost Medicare

supplemental plan that is filed with the Office of the Health Insurance

Commissioner of Rhode Island, that is available through the state-sponsored

program, and that meets the provisions of the Medicare-eligible retiree health

care insurance benefit defined in section 36-12-1(9). The maximum state

contribution will vary by age as specified by the rates set forth in the

Medicare supplemental plan filing.



   (e) For Medicare-eligible state retirees who retired before

September 30, 2008, effective January 1, 2014, the state of Rhode Island will

credit an amount to each retiree's HRA account on a monthly basis. The amount

of such credit shall be calculated based on the retiree's years of service, as

a percentage of the maximum state contribution set forth in (d) above, and in

accordance with the following formula:



   SEE THE BOOK FOR THE PROPER TABLE.



   (f) For Medicare-eligible state retirees who retire on or

after October 1, 2008, effective January 1, 2014, the state of Rhode Island

will credit monthly an amount to each retiree's HRA account equal to 80% of the

maximum state contribution set forth in (d) above, provided the retiree has a

minimum of twenty (20) years of service and is at least fifty-nine (59) years

of age.



   (g) Medicare-eligible teacher retirees may purchase the

individual policies available to Medicare-eligible state retirees under the

state-sponsored program.



History of Section.

(P.L. 2013, ch. 144, art. 2, § 2.)