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Benefits June 25, 2012
No More Free Health Insurance for Ill. State Retirees
June 25, 2012 (PLANSPONSOR.com) - New legislation means current and future Illinois government retirees will have to pay premiums for their state retiree health insurance, starting July 1.
Reported by PLANSPONSOR staff
The legislation, signed by Governor Pat Quinn last week, will also apply to judges, legislators and retired university employees, the Chicago Sun-Times reports. That group, whose retiree health care collectively costs the state about $800 million a year, was previously eligible for state-subsidized health insurance after several years of service.
“Those who have faithfully served the state deserve access to quality health care, and insurance costs should be more balanced and based on actual retirement income,” said Quinn, according to the newspaper. “We also have a duty to taxpayers to ensure these plans are cost-efficient and put Illinois on the path to fiscal stability.”
Exactly how much retirees will have to pay is currently unclear; rates will be set by Quinn’s administration with the Joint Committee on Administrative Rules, a legislative rule-making body.
– Sara Kelly