When you retire or begin receiving UCRP disability income, you may be eligible to continue your UC-sponsored health and welfare coverage. Benefits you may continue include:

These benefits are separate from the retirement plan and are not a vested benefit. That means these benefits are not guaranteed and that UC’s contributions to the cost of these benefits may change or be discontinued at any time.

Eligibility

To be eligible for retiree health and welfare benefits, you must:

  • Be a member of the UC Retirement Plan
  • Choose to receive a monthly retirement benefit
  • Be enrolled in or eligible to enroll in UC employee benefits on the day you retire
  • Continue coverage at the time you retire
  • Have a retirement date that is within 120 days of the date you end UC employment
  • Continue coverage until the date your retirement income begins

If there is a gap in time between your last day on active pay and your retirement date, you may have to pay the full monthly cost for your medical and dental plans (including UC’s contribution) to ensure coverage during the gap period so that you continue eligibility into retirement.

UC’s Contribution to Medical and Dental Premiums

Currently, UC contributes toward the monthly cost of medical and dental coverage, but the contribution may change or stop altogether. The amount UC will contribute depends on the date you were hired and the amount of service credit you have earned.

If you become a UCRP member on or after July 1, 2013, or are rehired after that date following a break in service of more than 120 days, you are eligible to enroll provided you are 50 or older and have at least 10 years of service credit at the time you retire. If you retire at age 56 or older, you will receive a percentage of UC’s contribution toward monthly premiums based on your age and years of UCRP service credit at retirement.

To receive the maximum UC contribution, you need to retire at age 65 with 20 or more years of service.

See the chart below for the percentage of the UC contribution for all eligible ages and years of service credit.

This chart also applies to you if you have a break in service of more than 120 days after June 30, 2013.

Service Credit50-55*56575859606162636465
10 0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0% 50.0%
11 0% 5.5% 11.0% 16.5% 22.0% 27.5% 33.0% 38.5% 44.0% 49.5% 55.0%
12 0% 6.0% 12.0% 18.0% 24.0% 30.0% 36.0% 42.0% 48.0% 54.0% 60.0%
13 0% 6.5% 13.0% 19.5% 26.0% 32.5% 39.0% 45.5% 52.0% 58.5% 65.0%
14 0% 7.0% 14.0% 21.0% 28.0% 35.0% 42.0% 49.0% 56.0% 63.0% 70.0%
15 0% 7.5% 15.0% 22.5% 30.0% 37.5% 45.0% 52.5% 60.0% 67.5% 75.0%
16 0% 8.0% 16.0% 24.0% 32.0% 40.0% 48.0% 56.0% 64.0% 72.0% 80.0%
17 0% 8.5% 17.0% 25.5% 34.0% 42.7% 51.0% 59.5% 68.0% 76.5% 85.0%
18 0% 9.0% 18.0% 27.0% 36.0% 45.0% 54.0% 63.0% 72.0% 81.0% 90.0%
19 0% 9.5% 19.0% 28.5% 28.0% 47.5% 57.0% 66.5% 76.0% 85.5% 95.0%
20 or more 0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0%

* Those who retire between ages 50 and 55 are eligible to enroll in UC-sponsored health insurance for retirees but will not receive a UC contribution.

If you became a member of UCRP between Jan. 1, 1990 and June 30, 2013, your age plus years of service credit was 50 or greater, and you were actively employed on that date, the UC contribution toward medical and/or dental plan monthly premiums is based on the following formula:

Years of UCRP
Service Credit
Percentage of UC Contribution
5-9 If age plus years of service is at least 75 then 50%; otherwise not eligible
10 50%
11-20 Increases from 50% by 5% per year to 100% at 20 years

This chart also applies to all Safety members.

If you became a member of UCRP before Jan. 1, 1990, and you have not had a break in service of more than 120 days, you will receive 100 percent of UC’s contribution toward the medical and/or dental monthly premiums if:

  • You retire before age 55 and have at least 10 years of UCRP service credit (five years for Safety members)
  • You retire at age 55 or later and have at least five years of UCRP service credit

How the UC contribution to medical and dental premiums works

Currently UC contributes to the cost of medical and dental premiums for eligible retirees. The amount of the contribution is determined annually, depending on state funding and other factors. It is not a guaranteed benefit and could be discontinued at any time.

The numbers are for illustrative purposes only, and are not actual premiums or contributions.


Non-medicare plan

  Eligible for 100% of UC Contribution Subject to graduated eligibility; receiving 50% of UC contribution Subject to graduated eligibility; receiving 75% of UC contribution
Total monthly premium $575 $575 $575
UC Contribution $450 $225 $337.50
Your monthly premium $125 $350 $237.50


Medicare plan

  Eligible for 100% of UC Contribution Subject to graduated eligibility; receiving 50% of UC contribution Subject to graduated eligibility; receiving 75% of UC contribution
Total monthly premium $250 $250 $250
UC Contribution $350 $175 $262.50
Your monthly premium 0 $75 0
Medicare Part B reimbursement* $100 0 $12.50

* If UC’s contribution to your medical plan is greater than the premium, UC reimburses you for a portion of the standard Medicare Part B premium you pay for Medicare coverage, usually as a deduction from your Social Security benefit.