Medical coverage for a retiree and his/her eligible dependents in effect at the time of retirement may continue. Medical benefits in lieu of COBRA will be available to the retiree and any eligible dependents until the retiree reaches age 65 or becomes eligible for Medicare, whichever occurs first provided the retiree is not eligible for coverage through another employer. Medical benefits will cease if the retiree becomes eligible for benefits through employment with another employer. Plan options and plan provisions will be the same as for active employees and are subject to change at any time by the College.
When coverage ends for a retiree, continuation coverage through COBRA will be extended to any COBRA eligible dependents still covered under the group plan.
Cost of Coverage for Retirees
The amount of college and retiree contributions toward retiree medical insurance varies based on the retiree’s latest date of hire (adjusted service date).
- The College will pay the full cost of coverage for those retirees who were hired before January 1, 2007.
- Retirees who were hired on or after January 1, 2007 will be responsible for paying the full cost of coverage if they choose to continue under the College's group plan.
Cost of Coverage for Spouse and Eligible Dependents
The cost to continue coverage for a spouse or any eligible dependents will be equivalent to the COBRA rate in effect at that time.
Medical Plan Opt-out Provision
At the time of retirement, the retiree may decline to be covered under the retiree medical coverage. The cash opt-out provision cannot be requested if a retiree from Ithaca College plans to continue working elsewhere and will be eligible for medical coverage through another employer within the first four months of retirement. A one-time, taxable cash allowance not to exceed $5000 will be calculated on the basis of the opt-out amount for active employees, times the number of years (maximum of 10 years) that the retiree would have been eligible for coverage under the program. The retiree will relinquish any rights to enroll in the future after choosing the cash opt-out option. The cash opt-out option can only be requested at the time of retirement and is not available after the retirement date.