Senate Bill 1054 Summary

• Authorizes the Arizona State Retirement System (ASRS) board to establish a self-insurance program for group health and accident coverage if determined to be less expensive and at least as effective as a fully insured plan.

• Requires ASRS to establish a separate account for any self-insurance program with funds used only for providing benefits, administration costs, and premium payments, with remaining funds returned to employers after liabilities are satisfied.

• Expands health insurance coverage eligibility to include retired members of the public safety personnel defined contribution retirement plan and elected officials' defined contribution retirement system.

• Clarifies that ASRS can use the self-insurance program account funds for premium payments under section 38-783 related to retiree health insurance subsidies.

• Updates premium payment caps for retiree health insurance, changing dollar amounts to current values ($150 single/non-Medicare, $100 single/Medicare, $260 family/non-Medicare, $170 family/Medicare, $215 family/mixed Medicare eligibility).