What do I do for medical when I retire?
Traveling, golfing, volunteering, spending time with grandkids; activities that are often on the mind of employees getting ready to retire. But determining medical coverage? Likely not at the top of the wish-list of most retiring employees, and yet such an important decision to make. Let’s take a look at the options for Mayo Clinic retirees:
- COBRA (Consolidated Budget Reconciliation Act) - An interesting name and a possible bridge to other coverage for up to 18 months after employment ends. The premium is the full cost of coverage provided by Mayo Clinic.
- Mayo Medical Plan – Mayo retirees and spouses under the age of 65 have the opportunity to remain on the medical plan until they reach Medicare-eligibility. The premium is dependent on when the retiree started work at Mayo Clinic, and which location they worked at.
- Medicare and OneExchange – Retirees and spouses who retire and are Medicare-eligible, often times enroll in Medicare Part A and B, and elect a supplemental plan through OneExchange, a company that Mayo Clinic works with. Retirees who choose this option might also be eligible for a Health Reimbursement Arrangement (HRA) funded with dollars from Mayo Clinic. Again, this depends on when the retiree started work at Mayo Clinic, and which location they worked at.
- Other – There are other options outside of Mayo Clinic like the Health Insurance Marketplace that might work for retirees as well.
Fortunately, retirees are not alone in this process, as they can call HR Connect (888-266-0440) at any time regarding the retirement process, and can even request a pre-retirement guide detailing the information above. They can also visit HR Connect via the Mayo Clinic intranet for more information.
Check out the EVENTS tab on this site regarding details for an upcoming “Benefits University” class on retiree medical plans.