History: P.A. 82-218 replaced board of higher education with board of governors pursuant to reorganization of higher
education system, effective March 1, 1983; P.A. 83-462 amended Subsec. (a) to provide that each employer shall distribute
to teachers any notice, bulletins, etc. supplied by the board for purpose of notifying teachers of rights and obligations under
the system and amended Subsec. (b) to provide that amounts deducted by employer are the property of the system and
person in custody of such amounts is a fiduciary and shall discharge his responsibilities solely for the benefit of the system;
P.A. 84-241 added "of higher education" to board of governors' title; P.A. 92-205 amended Subsec. (a) to increase monthly
deduction from six per cent of one-tenth of annual salary rate to seven per cent of one-tenth of annual salary rate; May Sp.
Sess. P.A. 92-14 changed effective date of P.A. 92-205, S. 2 from June 10, 1992, to July 1, 1992; P.A. 00-187 amended
Subsec. (b) to provide for the reporting of deducted amounts, to change the time frame for the receipt of the funds by the
board from the last business day of the month to the fifth business day of the following month, to require the electronic
transfer of funds on and after July 1, 2001, to change the time frame for determining if the board is entitled to interest on
overdue payments from payments not received within one calendar month of the due date to payments not received by the
fifth business day of the following month, and to provide for interest at a rate of nine per cent per year to be compounded
annually on the interest assessed from the date payment is received to the date the interest assessment is paid, effective
July 1, 2000; P.A. 03-232 amended Subsec. (a)(4) to change the monthly deduction from "seven per cent" to "seven and
one-fourth per cent of one-tenth of such teacher's annual salary rate", effective July 1, 2004; P.A. 05-153 amended Subsec.
(b) to authorize board to deem amounts received as "not received" by due date unless and until amounts are accompanied
by data needed by board to administer system and make a technical change for the purpose of gender neutrality, effective
July 1, 2005.
Sec. 10-183t. Health insurance: Plans maintained by Teachers' Retirement
Board and boards of education; state payment of premiums on behalf of members;
use of one per cent voluntary contributions. (a) The retirement board shall offer one
or more health benefit plans to: Any member receiving retirement benefits or a disability
allowance from the system; the spouse or surviving spouse of such member, and a
disabled dependent of such member if there is no spouse or surviving spouse, provided
such member, spouse, surviving spouse, or disabled dependent is participating in Medicare Part A hospital insurance. The board may offer one or more basic plans, the cost
of which to any such member, spouse, surviving spouse or disabled dependent shall be
one-third of the basic plan's premium equivalent, and one or more optional plans, provided such member, spouse, surviving spouse or disabled dependent shall pay one-third
of the basic plan's premium equivalent plus the difference in cost between any such
basic plans and any such optional plans. The board shall designate those plans which
are basic and those plans which are optional for the purpose of determining such cost
and the amount to be charged or withheld from benefit payments for such plans. The
surviving spouse of a member, or a disabled dependent of a member if there is no
surviving spouse, shall not be ineligible for participation in any such plan solely because
such surviving spouse or disabled dependent is not receiving benefits from the system.
With respect to any person participating in any such plan, the state shall appropriate to
the board one-third of the cost of such basic plan or plans, or one-third of the cost of
the rate in effect during the fiscal year ending June 30, 1998, whichever is greater.
(b) Any member who is receiving retirement benefits or a disability allowance from
the system, the spouse or surviving spouse of such member, or a disabled dependent of
such member if there is no spouse or surviving spouse, and who is not participating in
Medicare Part A hospital insurance, may fully participate in any or all group health
insurance plans maintained for active teachers by such member's last employing board
of education, or by the state in the case of a member who was employed by the state,
upon payment to such board of education or to the state, as applicable, by such member,
spouse or surviving spouse, or disabled dependent, of the premium charged for his form
of coverage. Such premium shall be no greater than that charged for the same form of
coverage for active teachers. The surviving spouse or disabled dependent shall not be
ineligible for participation in any such plan solely because such surviving spouse or
disabled dependent is not receiving benefits from the system. No person shall be ineligible for participation in such plans for failure to enroll in such plans at the time the
member's retirement benefit or disability allowance became effective. Nothing in this
subsection shall be construed to impair or alter the provisions of any collective bargaining agreement relating to the payment by a board of education of group health
insurance premiums on behalf of any member receiving benefits from the system. Prior
to the cancellation of coverage for any member, spouse or surviving spouse for failure
to pay the required premiums or cost due, the board of education or the state, if applicable,
shall notify the Teachers' Retirement Board of its intention to cancel such coverage at
least thirty days prior to the date of cancellation. Absent any contractual provisions to
the contrary, the payments made pursuant to subsection (c) of this section shall be first
applied to any cost borne by the member, spouse or surviving spouse participating in
any such plan. As used in this subsection, "last employing board of education" means
the board of education with which such member filed his initial application for retirement, and "health insurance plans" means hospital, medical, major medical, dental,
prescription drug or auditory benefit plans that are available to active teachers.
(c) On and after July 1, 2000, the board shall pay a subsidy equal to the subsidy
paid in the fiscal year ending June 30, 2000, to the board of education or to the state, if
applicable, on behalf of any member who is receiving retirement benefits or a disability
allowance from the system, or the spouse, or the surviving spouse of such member, or
a disabled dependent of such member if there is no spouse or surviving spouse, who is
participating in a health insurance plan maintained by a board of education or by the
state, if applicable. Such payment shall not exceed the actual cost of such insurance.
With respect to any person participating in any such plan pursuant to subsection (b) of
this section, the state shall appropriate to the board one-third of the cost of the subsidy.
No payment to a board of education pursuant to this subsection may be used to reduce
the amount of any premium payment on behalf of any such member, spouse or surviving
spouse, or disabled dependent, made by such board pursuant to any agreement in effect
on July 1, 1990.
(d) The Treasurer shall establish a separate retired teachers' health insurance premium account within the Teachers' Retirement Fund. Commencing July 1, 1989, and
annually thereafter all health contributions withheld under this chapter in excess of
five hundred thousand dollars shall, upon deposit in the Teachers' Retirement Fund, be
credited to such account. Interest derived from the investment of funds in the account
shall be credited to the account. Funds in the account shall be used for payments to boards
of education pursuant to subsection (c) of this section and for payment of premiums on
behalf of members or surviving spouses of members participating in one or more health
insurance plans pursuant to subsection (a) of this section in an amount equal to the
difference between the amount paid pursuant to said subsection (a) and the amount paid
pursuant to subsection (c) of this section. If, during any fiscal year, there are insufficient
funds in the account for the purposes of all such payments, the General Assembly shall
appropriate sufficient funds to the account for such purpose.
(P.A. 78-208, S. 19, 35; 78-228, S. 5, 8; P.A. 79-625, S. 5, 6; P.A. 84-451, S. 2; May Sp. Sess. P.A. 86-1, S. 47, 58;
P.A. 87-10, S. 1, 2; 87-410, S. 2, 3; P.A. 89-342, S. 4, 5; P.A. 90-308, S. 4, 15; June Sp. Sess. P.A. 91-10, S. 5, 20; P.A.
98-155, S. 1, 2; P.A. 00-187, S. 59, 75; P.A. 03-232, S. 11, 12; P.A. 05-98, S. 1.)
History: P.A. 78-228 required board to pay ten per cent of individual and additional coverage on and after July 1, 1978;
P.A. 79-625 specified applicability of section to group health insurance plans; P.A. 84-451 added provision requiring board
to pay, on and after July 1, 1984, for each member receiving a disability allowance, thirty per cent of portion of premium
charged for his individual coverage and thirty per cent of any additional cost for his form of coverage; May Sp. Sess. P.A.
86-1 added the requirement that a member be eligible for Medicare Part A to have the board withhold from benefit payments
and pay premiums on health insurance plans and that the board shall not allow participation in such a plan by anyone who
is not eligible for Medicare Part A, increased the amounts which the board shall pay from ten to twenty-five per cent and
for members receiving disability from thirty to forty-five per cent of the portion of the premium charged for individual
coverage, added Subsec. (b) providing for participation in group health insurance plans maintained by boards of education,
and made other technical changes; P.A. 87-10 clarified provision in Subsec. (b) re participation by member or member's
spouse in group health insurance plans maintained for active teachers and added provision that premiums for coverage
shall be no greater than that charged for same form of coverage for active teachers; P.A. 87-410 amended Subsec. (a) to
allow surviving spouse of a member receiving benefits at the time of death to participate in insurance plans and to provide
that surviving spouse is not ineligible for participation solely because such spouse is not receiving benefits from the system;
P.A. 89-342 added Subsecs. (c) and (d) re payment of health insurance premiums on and after July 1, 1990; P.A. 90-308
amended Subsec. (c) to change date on which board begins making payments from July 1, 1990, to June 1, 1990; June Sp.
Sess. P.A. 91-10 clarified that provisions of Subsecs. (b) and (c) re participation in health insurance plans and payment of
premiums by board apply to a "spouse or surviving spouse" rather than a "spouse" and defined "last employing board of
education" for purposes of Subsec. (b), effective October 2, 1991, and applicable to membership or participation in teachers'
health insurance plans on and after July 1, 1991; P.A. 98-155 amended Subsec. (a) to delete provision authorizing board
to withhold funds from a member or surviving spouse's benefit payment and pay on such person's behalf, premiums on
one or more group health insurance plans and to delete provision requiring board to pay twenty-five per cent of the premium
charged for individual coverage and twenty-five per cent of any additional cost for such person's form of coverage, to
delete provision requiring board to pay forty-five per cent of the premium charged for any member receiving a disability
retirement allowance and forty-five per cent of any additional cost for such person's form of coverage, to substitute provision
requiring board to offer one or more basic plans, at no cost, to any such member, spouse or surviving spouse of such
member and one or more optional plans, provided such person pays the difference in cost between any such basic plans
and any such optional plans, and to add provision concerning amount of state's appropriation to the board for the cost of
such basic plan or plans, amended Subsec. (b) to include any member receiving a disability allowance, to provide that a
surviving spouse shall not be ineligible for participation solely because such spouse is not receiving benefits, to specify
application of payments made pursuant to Subsec. (c) and to define "health insurance plans", and amended Subsec. (c) to
delete requirement that board pay one hundred per cent of premium costs for participants in plans offered by the board
and an equal dollar amount for participants in plans offered by boards of education and to specify amount of board's
payment and amount of state's appropriation to the board for the cost of such basic plan or plans, effective July 1, 1998;
P.A. 00-187 added provisions re a disabled dependent if there is no spouse or surviving spouse, in Subsec. (a) changed the
provision for the offering of basic plans to members from no cost to a cost of twenty-five per cent of the basic plan's
premium equivalent, in Subsec. (c) changed the requirement for the board to pay, on and after July 1, 1998, an amount
equal to the cost of a basic health insurance plan to a requirement to pay, on and after July 1, 2000, a subsidy equal to the
subsidy paid in the fiscal year ending June 30, 2000, and made technical changes, effective July 1, 2000; P.A. 03-232
amended Subsec. (a) to substitute "one-third" for "twenty-five per cent" re cost of plans, and amended Subsec. (c) to make
a technical change, and to substitute "one-third" for "twenty-five per cent" re cost of subsidy, effective July 1, 2005, and
amended Subsec. (d) to substitute "health contributions" for "one per cent contributions", effective July 1, 2003; P.A. 05-98 amended Subsec. (a) to replace requirement that persons be eligible for Medicare Part A with requirement that persons
be participating in Medicare Part A as condition for membership in health insurance plans maintained by retirement board
and made technical changes, effective July 1, 2005.