Are you planning to retire in 2027?
If you expect to retire in 2027 and will be eligible for Medicare, consider selecting a medical plan during this Open Enrollment that has the Medicare partner plan you’d like to enroll in next year. Choosing a non-Medicare plan with your future Medicare coverage in mind can help make the transition to retiree coverage easier.
The Medicare version or partner plan of your medical plan may have different benefits or a different service area, and not all providers accept Medicare. To learn more:
- Contact the plan or visit its website
- Review the Medicare Fact Sheet and “Enrolling in Medicare” on UCnet (ucal.us/ medicare)
- Call the UC Retirement Administration Service Center (RASC) at 800-888-8267
Newly retired members will have a 31-day Period of Initial Eligibility (PIE) opportunity, beginning on the later of their retirement effective date or when their employee coverage ends, to change their retiree medical plan. When you retire, you need to submit a UBEN 100 form to the RASC, along with the appropriate Medicare assignment forms if you’re enrolling in a Medicare plan.
Medicare partner plans
For California retirees, below are non-Medicare plans and the corresponding partner Medicare plans.
| If you’re enrolled in | You’ll transfer to this Medicare plan when eligible |
|---|---|
| UC Care PPO | UC Medicare PPO (Anthem Blue Cross) |
| UC Blue & Gold HMO | UC Medicare Choice PPO (UnitedHealthcare) |
| Kaiser CA HMO* | Kaiser Permanente Senior Advantage (CA) |
| HealthSavings+** | Period of Initial Eligibility (PIE) to enroll in UC-sponsored Medicare plans in your service area |
*Please note: Kaiser Mid-Atlantic HMO is not open to retirees. Members who retire and are not eligible for Medicare will need to transfer to a non-Medicare UC PPO plan. If you are eligible for Medicare, you will transfer to a Via Benefits Medicare Exchange plan or to UC Medicare PPO, depending on eligibility.
** Please note: If you are in HealthSavings+ and will become Medicare eligible, your eligibility to contribute to a Health Savings Account (HSA) depends entirely on your Medicare enrollment status. Enrolling in any part of Medicare (Part A, Part B, Part C or Part D) completely ends your eligibility to make new contributions to an HSA.
Here are a few rules about how the transition to Medicare can impact your HSA eligibility:
- The Enrollment Trigger: Simply reaching age 65 does not stop you from contributing to an HSA. You remain eligible as long as you are enrolled in HealthSavings+ and have not enrolled in Medicare.
- The Mid-Year Split: If you enroll in Medicare mid-year, your maximum HSA contribution limit for that year is pro-rated based on the number of months you were eligible before your Medicare coverage started.
- The 6-Month Retroactive Trap: If you delay enrolling in Medicare past age 65 and apply later, Medicare Part A coverage can be backdated up to 6 months (but not before your 65th birthday). You must stop HSA contributions 6 months before you apply for delayed Medicare to avoid tax penalties.
For Medicare-eligible retirees who live outside of California, UC offers the Medicare Coordinator Program, administered by Via Benefits. Visit the Medicare Coordinator page to determine whether the program applies to you and to review the program requirements and enrollment process.
Avoid Medicare penalties
If you’re eligible for Medicare when you lose your UC coverage or retire, or when you age-in to Medicare while retired, it’s very important that you enroll immediately to avoid penalties from the Centers from Medicaid and Medicare Services (CMS) and UC. Beginning January 1, 2027, the UC Medicare administrative penalty will be $608.70 per month for UC retirees who fail to enroll in Medicare when they’re eligible, fail to assign Medicare to their UC retiree health coverage, or fail to maintain Medicare enrollment. Retirees who don’t assign Medicare to their UC-sponsored medical coverage by their next Medicare enrollment period will lose UC medical coverage.
Split-Medicare families
If, after your retirement, some family members have Medicare coverage and others are not currently eligible for Medicare, you’ll be considered a split Medicare family. You and the family members you cover must enroll in plans that work together. See Split or mixed Medicare families for more information. UC Medicare PPO without Prescription Drugs and UC High Option Supplement to Medicare plans are not available to split-Medicare families.
Read the Medicare Factsheet (PDF) for more information.