MI HB4330

Beginning January 1, 2018, the retirement system shall pay 80% of the entire monthly premium for hospitalization, medical, dental, and vision insurance coverage for eligible retirants, deferred vested members, and their spouses, eligible children, and survivors (reduced from previous full premium payment).

For former qualified participants vested under section 75(2)(a) or (c), the state's portion of health insurance premiums is capped at 80% of the entire premium beginning January 1, 2018 (previously 90% until December 31, 2017).

For former qualified participants vested under section 75(2)(b), the state shall pay health insurance premiums equal to the amounts paid on behalf of Tier 1 retirants, with individuals responsible for paying the remaining portion of premiums.

Individuals who elect health insurance coverage under the program must pay out-of-pocket for any premium portion not covered by the state or retirement system.

The provisions do not apply if the Internal Revenue Service determines they would disqualify the retirement system for tax purposes under the internal revenue code.