Originally Posted by Delawaredave5
So all retirees have to get off the company's plan ? There's no option to stay and pay the premium yourself and leverage group rate ?
I assume you still had a contribution towards medical insurance before this change - how much was it ? Any idea on monthly cost after leaving company plan ?
Don't say anything you don't want to - I'm just curioius. My Megacorp keeps increasing "retiree contribution" - but not terminated.
What happens to people with pre-existing conditions ?
All I know now is a few lines in a one-page letter. But I'm pretty sure that we'll be able to buy into the existing plan for at least two year. The company is "eliminating the subsidy" but not "eliminating group health for retirees".
I agree with you that just staying in the group plan is a big deal. Before I retired, I said that the only thing I really needed from the company was group rates. But I also felt that if they don't subsidize the coverage, eventually they get anti-selection and the rates spiral up.
According to the company, their contribution for a couple, under age 65, was about $14,500 per year. For a couple over 65, it was $3,000 per year.
If you stay in the plan, I'd assume no changes on pre-existing conditions. If they close the plan, then we've got whatever HIPAA provides. I generally believe that means you can get coverage as long as you "stay in the system", but I know there are exceptions (my son discovered that his student health insurance didn't fall under the guidlelines).