Choosing Health Benefits for Retirees
Retiree health benefits are offered through the Texas Employees Group Benefits Program (GBP) and are available to most State of Texas retirees and their eligible dependents. Health plan options for retirees are based on Medicare eligibility. When retirees become eligible for Medicare and enroll in Medicare Parts A and B, they will automatically be enrolled in HealthSelect Medicare Advantage, administered by Humana.
- Medicare-eligible retirees can choose to stay in HealthSelect of Texas, but their coverage will change to HealthSelect Secondary.
- Medicare and non-Medicare retirees can participate in a regional HMO if they live in the HMO’s service area.
- Medicare-eligible retirees are not eligible to participate in Consumer Directed HealthSelect.
Below are a list of health plans available to Medicare-eligible and non-Medicare eligible retirees.
Health Plan Rates
The State of Texas contributes to a state retiree’s health care rate or premium. This is called the state contribution. The retiree pays the remainder of the premium out of his or her annuity. The contribution rate is based on available funding provided by the Texas Legislature and whether the retiree worked part-time or full-time the last three months prior to retirement. The following are the current rates:
- Retired from full-time employment: receives 100% of the state contribution for themselves and a 50% for their dependents.
- Retiree from part-time employment: receives 50% of the state contribution for themselves and a 25% for their dependents.
IMPORTANT NOTICE ABOUT INSURANCE: Health and other insurance benefits for employees and retirees are subject to change based on available state funding. The Texas Legislature determines the level of funding for such benefits and has no continuing obligation to provide those benefits beyond each fiscal year.
Medicare Health Plans Comparison Chart
Health coverage for Retirees