A state board on Tuesday decided to give Medicare-member state retirees the option to purchase their pharmaceutical coverage through the Medicare Part D market or to continue coverage through the state employees' health insurance plan next year.
The retirees who purchase their pharmaceutical coverage through the Medicare Part D market will get a $25 a month break in their premiums next year.
The retirees who continue their pharmaceutical coverage through the state employees’ health insurance plan will get a 5% increase in their premiums next year.
The 15-member State and Public School Life and Heath Insurance Board also voted to rescind its Aug. 5 decision to require about Medicare-member state retirees to purchase their pharmaceutical coverage through the Medicare Part D market. There are about 13,800 Medicare-member state retirees in the state employees’ health insurance plan.
The board’s Aug. 5 decision irked some retirees and some lawmakers, who heard that some of the retirees could be forced to pay $4,000 to $5,000 more for their pharmaceutical coverage through Medicare Part B next year.
Some board members said Tuesday that the board may have to discontinue pharmaceutical coverage for the Medicare-member retirees in 2022, if they are not unable to find similar cost savings measures.