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| Retiree Health Premium Supplement Program (RHPSP) |
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| Program Details (PDF - opens new window) |
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Overview/Applicability |
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The RHPSP applies to represented employees and Management and Confidential employees. |
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Eligibility |
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| Rules - General |
| In order to be eligible to receive the supplement, you must: |
- Choose retiree medical coverage with the County upon retirement.
- Have worked for the County (not a special district) for at least 20 continuous1 "years of service"2.
- Take active retirement from service (since separating from service and deferring your retirement to a later date will make you ineligible for the program.)
- Be at least 50 years of age, but no greater than 64 years of age at retirement, and
- Have contributed to the program by payroll deduction during the qualified years of employment.
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| Notes: |
- If you began work for the County at or after age 45, you will never be eligible for the supplement.
- If you terminate employment, retire before age 50 or retire after age 64 you will not be reimbursed for any amount you may have paid into this program.
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Rules - Retirement for Work-related Disability:
If you are granted a service-connected disability retirement by the Kern County Employees' Retirement Association, you will qualify for the full benefit under this program if you: |
- Have five years of qualified County service
- Have applied for the disability retirement prior to separating from County service
- Have contributed to the program by payroll deduction during the qualified years of employment and
- Enroll in retiree medical coverage with the County upon retirement
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| Notes: |
- Continuous service means consecutive years worked for the County during which the employee was earning retirement credit. Years worked prior to a break in service will NOT be counted for this program unless the break in service either:
- Is less than one year in length
- Occurred after July 1, 1994
In other words, a break in service over one year in length prior to July 1, 1994 will cause all time worked prior to the break to be ineligible time.
- "Years of service" is calculated in accordance with the policies of the Kern County Employees' Retirement Association, except that the only years counted for this program are years of actual County benefited service (i.e., certain types of retirement service credit, such as prior public service, military time, Golden Handshake credit, County extra-help time, are NOT counted). Service begins at the date of entry into the retirement system, so "years of service" for this program will not exceed years of service for retirement credit.
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Premium Amount
Listed below are the monthly premium contributions for medical plans available to retirees under age 65. |
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| These rates are in effect beginning January 1, 2008, but it is assumed that these premiums will increase annually. |
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| PLAN |
SINGLE |
TWO-PARTY |
FAMILY |
| County Self-insured plan (POS) |
$608.14 |
$1,166.91 |
$1,725.67 |
| Health Net (HMO) |
$695.09 |
$1,390.13 |
$2,016.26 |
| Kaiser (HMO) |
$560.02 |
$1,120.04 |
$1,585.87 |
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Benefit Amount
The supplement amount that the County will contribute is calculated at the time of retirement and does not change after that, even though premiums do increase. The base amount of the supplement is equal to the then current retiree medical premium for single coverage under the plan covering active employees at the time of retirement. The base amount is multiplied by a percentage between 50 and 100, depending on years of service. (See actual amounts below.) In no event will this amount plus the stipend ever be greater than the 100% of the monthly medical premium.
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| For illustrative purposes, the following chart shows the current amount of the supplement based on the number of years of service at retirement and the monthly County Self-Insured POS Plan premium for an individual. |
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| For employees retiring on or after November 1, 2007 |
| Full Years of Service |
Amount of Supplement |
20
21
22
23
24
25 +
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$288.57
$346.28
$404.00
$461.71
$519.43
$577.14
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| The amount used as the basis for calculating the permanent supplement amount will be the County Self-Insured POS Plan medical premium for an individual at the time of retirement. Once the supplement is calculated, it is fixed. That amount will be available to the retiree monthly until age 65 or until health coverage with the County ends. (Note: You will continue to receive the stipend after age 65.) |
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