Retiree Medical Insurance Program

Purpose

The County of Orange established the Retiree Medical Program to assist employees with the cost of maintaining health insurance coverage when County service ends.

Eligibility

Full time, regular, limited term and probationary employees, and part-time employees whose normal workweek consists of at least twenty (20) hours.

Premium

Some County employees contribute a bi-weekly premium equal to 1% of their biweekly gross salary. Salary is based on regularly paid hours and could vary from one pay period to another if hours worked are not consistent. Overtime hours are not considered for purposes of computing the 1% premium. This 1% deduction may be taken on a pre-tax basis. (For more information, please refer to Tax Free Deduction Premium Only Plan).

Benefit at Retirement

Eligible retirees will receive a monthly Retiree Medical Grant (Grant) to be applied toward the cost of County health insurance and/or Medicare premiums. For 2007, the monthly Grant will be $ 16.67 for each year of County Service up to a maximum of 25 years or $416.67 per month.

Full years of service are used to calculate the number of eligible service years used to calculate the Grant. A service year is equal to 2,080 regular hours.

This Grant is designed to be a nontaxable benefit.

Regular Retirees

To be eligible to receive the Grant, employees must:

Have a minimum of 10 years of County Service
Be at least 50 years old; and,
Receive a monthly retirement allowance from the Orange County Employees Retirement System; and
Be enrolled in a County health plan at the time of retirement.

Disability Retirees

Employees who are granted a service connected disability will get a minimum of 10 years or actual years, whichever is greater.

Those who were granted a non-service connected disability and have a minimum of 5 years County Service are eligible to receive the Grant. All retirees must be receiving a monthly retirement allowance from the Orange County Employees Retirement System to be eligible for the Grant.

Survivors

As a survivor of a deceased Orange County employee, meeting the following requirements, you may be eligible for County health insurance and survivor benefits under the Retiree Medical Program.

The employee must have a minimum of 5 years of County Service
You must receive a monthly retirement allowance from the Orange County Employees Retirement System (OCERS)
You must be a dependent on the employee health plan at the time of their death. Survivors are eligible for 50% of the Retiree Medical Grant that would have been available to the employee or retiree.