Can I keep my health, dental and vision insurance when I retire?

You may be eligible for health, dental and vision coverage in retirement if you meet these three criteria:

1. You are eligible to retire due to: Years of service
   • For employees with an effective date of membership before July 1, 2012
     • SCRS and Optional Retirement Program (ORP) participants are eligible for retirement with 28 years of service credit.
     • Police Officer Retirement System (PORS) participants are eligible for retirement with 25 years of service credit.
   • For employees with an effective date of membership on or after July 1, 2012
     • SCRS participants are eligible for retirement when they satisfy the Rule of 90 requirement (age plus years of service equals 90).
     • ORP participants are eligible for retirement with 28 years of service credit.
     • Police Officer Retirement System (PORS) participants are eligible for retirement with 27 years of service credit.
   Age or
   • For employees with an effective date of membership before July 1, 2012
     • SCRS and ORP participants are eligible for retirement at age 60.
     • PORS participants are eligible for retirement at age 55.
     • SCRS participants are eligible for early retirement at age 55 with at least 25 years of service credit. (ORP participants are not eligible under the 55/25 rule.)
   • For employees with an effective date of membership on or after July 1, 2012
     • SCRS and ORP participants are eligible for retirement at age 60.
     • PORS participants are eligible for retirement at age 55. 
   On approved disability
   • Through one of PEBA Retirement Benefits' defined benefit plans (South Carolina Retirement System (SCRS), Police Officer Retirement System (PORS), General Assembly Retirement System (GARS), or Judges and Solicitors Retirement System (JSRS)); or 
   • If you are a participant in ORP, through approval by the Standard Insurance Company for Basic Long Term Disability and/or Supplemental Long Term Disability.
2. You retire from an employer that participates in the state insurance program; and
3. Your last five years of employment were served consecutively in a full-time, benefits-eligible position with an employer that participates in the state insurance program.

Exceptions:

• Former municipal and county council members who served on council for at least 12 years and were covered under the state plan by a participating employer when they left council may be eligible for retiree insurance if the county or municipal council on which they served allows coverage for former members.
• If you retire from a local subdivision that does not participate in PEBA Retirement Benefits you must have 28 years of service or have reached age 60 or be approved for disability through Standard Insurance Company.

Enrollment in retiree insurance is not automatic. If you wish to continue your insurance, you must submit a Retiree Notice of Election form and Employment Verification Record to PEBA Insurance Benefits within 31 days of leaving active employment.

I have decided to participate in the TERI program. What happens to my insurance benefits?

If you are a Teacher and Employee Retention Incentive (TERI) program participant in a permanent, benefits-eligible position, your insurance benefits as an active employee continue until your TERI ends and you leave employment. When you leave active employment, you must apply for continuation of your insurance benefits as a retiree (if eligible) within 31 days of your date of termination. Your service as a TERI participant in a full-time, permanent position with a participating employer may be applied toward retiree insurance eligibility.

How much will my insurance cost when I retire?

Local subdivisions determine premiums for their retirees. Local subdivision employees should contact their benefits office for information about retiree insurance premiums.

If you retire from a state agency, higher education institution or school district, you may be eligible for a state contribution to your retiree insurance premiums based on when you began employment and on your number of years of earned service credit with an employer that participates in the state insurance program.

Employees Hired Before May 2, 2008

If you worked in an insurance-eligible position before May 2, 2008, with an employer participating in the state insurance program, your health insurance premiums are based on the number of years of earned service with an employer participating in the state insurance program.

There are two premium structures for retirees hired before May 2, 2008. A funded retiree pays the same premium as an active employee. A non-funded retiree receives no contribution from his former employer and is responsible for the entire cost.

Am I eligible for funded insurance?

Am I eligible for non-funded insurance?

Whether you are a funded or a non-funded retiree, these types of service do not count toward your earned service credit requirement for insurance eligibility: non-qualified, federal, military, out-of-state employment, educational service, leave of absence, unused sick leave or service with employers that do not participate in the state insurance program.

Employees Hired on or After May 2, 2008

New employees hired on or after May 2, 2008, are subject to provisions set by S.C. Code Ann. Section 1-11-730 (B). At retirement, you must meet established insurance eligibility rules. Funding for your health insurance will be determined by calculating the number of years of earned service with an employer participating in the state insurance program.

These provisions apply to SCRS, ORP, PORS, General Assembly Retirement System and Judges-Solicitors Retirement System participants.

There are three premium structures for retirees hired on or after May 2, 2008. A funded retiree pays the same premium as an active employee. A partially funded retiree receives a smaller contribution from his employer, and therefore pays more than an active employee but less than a non-funded retiree. A non-funded retiree receives no contribution from his employer and is responsible for the entire cost.

Am I eligible for funded insurance?

To be eligible for funded retiree insurance, you must be eligible to retire and have at least 25 years of earned service credit with an employer that participates in the state insurance program.

Am I eligible for partially funded insurance?

To be eligible for partially funded retiree insurance, you must be eligible to retire and have at least 15 years, but fewer than 25 years, of earned service credit with an employer that participates in the state insurance program. Your former employer pays 50 percent of the employer’s share of the premium. The retiree pays the retiree’s share plus the remaining 50 percent of the employer’s contribution.

Am I eligible for non-funded insurance?

To be eligible for non-funded retiree insurance, you must be eligible to retire and have at least five years, but fewer than 15 years, of earned service credit with an employer that participates in the state insurance program. As a non-funded retiree, you pay the entire cost of the insurance. There is no employer contribution.

Whether you are a funded, partially funded or a non-funded retiree, the following types of service do not count toward your earned service credit requirement for insurance eligibility: non-qualified, federal, military, out-of-state employment, educational service, leave of absence, unused sick leave or service with employers that do not participate in the state insurance program.

What happens to my life insurance when I retire?

If you are enrolled in Optional Life when you retire, you may continue your term life insurance or convert your insurance to a whole life policy with MetLife. Whole life is a permanent form of life insurance. Term life provides coverage for a specific period of time. It has no cash value. See this flyer for more information about continuing or converting your life insurance. A Continuation of Group Optional Life Coverage Form or Notice of Group Life Insurance Conversion Privilege Form must be completed and received by MetLife within 31 days of the date your coverage ends.

You may also choose to convert your Basic Life or Dependent Life for a spouse or child by completing the Notice of Group Life Insurance Conversion Privilege Form. It must be received by MetLife within 31 days of the date your coverage ends. Your benefits office can assist you with completing these forms.

Where can I find more information about my insurance benefits in retirement?

More information about insurance benefits in retirement can be found in the Insurance Benefits Guide.