House Bill 385 for TRS Beneficiaries
Guidance from the State Health Benefit Plan on documenting and submitting records relating to HB 385 for TRS Beneficiaries returning to work as classroom teachers in a full-time capacity
SHBP recommends employers submit retirees who are hired under HB385 as benefits ineligible as follows:
When submitting a NEMP record, if the employer marks “N” in position #370 (benefits ineligible) on the AUF, then the retiree will continue coverage as a SHBP Retiree without interruption. The health premium deductions will continue from the retiree’s retirement annuity. The employer will not have a financial obligation for the retiree’s health coverage.
If the NEMP record is transmitted as benefits eligible when submitting a NEMP record, i.e., the employer marks “Y” in position #370 (benefits eligible) on the AUF, then the retiree will transition to health coverage as a New Hire. The health premium deductions will cease from the retiree’s retirement annuity and the employer will have a financial obligation for the retiree’s health coverage as a new hire.
If the employer submits a retiree who has Medicare as benefits eligible, it may affect the retiree’s insurance election. If the retiree is over 65 years of age and/or enrolled in a SHBP Medicare Advantage plan option, that option will be terminated, and the retiree will be required to choose a SHBP commercial plan option.
*Please note: The above guidance does not pertain to retirees returning to work in other capacities. In applicable circumstances, retirees who do not have coverage will be able to gain/regain SHBP coverage if returning to work in a benefits eligible position when properly notated on the NEMP record as benefits eligible.