Supporting nearly 16,000 retirees and counting, a Large Northeast County Government Group found that its existing Medicare plan was unsustainable in serving a rising number of public sector retirees in need of health benefits.
Members were paying upwards of $450+ per month for a Medigap Indemnity plan and prescription plan, a tall order for those on a monthly fixed income. Likewise, rising prescription and medical costs resulted in a growing Other Post-Employment Benefits (OPEB) obligation liability, dwindling fund reserves and putting financial pressure on the county.
To both expand health benefit options and educate retirees and public sector stakeholders, the county partnered with RetireeFirst to implement a group exchange with high, mid and low Medicare Advantage and Prescription Drug plans.
“RetireeFirst helped make our transition to a Medicare Advantage group plan a breeze from start to finish and beyond. They helped us roll-out the new plan options strategically, ensuring our stakeholders and retirees felt supported every step of the way. They managed this all while fighting for us to maintain the same coverage and better benefits, at a lower cost.”County’s Administrative Officer
$34 Million Saved Annually
The County’s retiree plan cost was lowered to $287 PMPM, saving 38.51% and $34.3 million annually
$3.3 Million Reduced Contribution
Reduced retiree contribution by $3.3 million across the County while maintaining equal or better coverage
$1.21 Billion Decreased Liability
Decreased OPEB obligation liability by $1.21 billion (28.5%)