§ 54-52.1-03.3 — Eligibility for retiree health benefits - Fixed contribution and reduction factors

North Dakota § 54-52.1-03.3

• Jurisdiction: North Dakota
• Title 54: State Government
• Ch. 54-52.1: Uniform Group Insurance Program

Text

factors.
1. The following individuals are entitled to receive credit for hospital benefits coverage,
medical benefits coverage, and prescription drug coverage under any health insurance
program and for any dental, vision, and long-term care benefits coverage under any
insurance program:
a. A member or surviving spouse of the highway patrol troopers' retirement system
is eligible for the credit beginning on the date retirement benefits are effective.
b. If the member first enrolled before January 1, 2020, a member or surviving
spouse of the public employees retirement system is eligible for the credit
beginning on the date retirement benefits are effective.
c. A member or surviving spouse of the retirement program established by
job service North Dakota under section 52-11-01 is eligible for the credit
beginning on the date retirement benefits are effective.
d. A retired judge or surviving spouse of the retirement program established under
chapter 27-17 is eligible for the credit beginning on the date retirement benefits
are effective.
e. If the former participating member first enrolled before January 1, 2020, a former
participating member of the defined contribution retirement plan receiving
retirement benefits, or the surviving spouse of a former participating member of
that retirement plan who was eligible to receive or was receiving benefits, under
section 54-52.6-13, is eligible as determined by the board pursuant to the board's
rules.

2. The board shall calculate the allowable monthly credit toward hospital benefits
coverage, medical benefits coverage, and prescription drug coverage under any health
insurance program and toward dental, vision, and long-term care benefits coverage
under any insurance program under subsection 1 in an amount equal to five dollars
multiplied by the member's or deceased member's number of years of credited service
under the highway patrol troopers' retirement system, the public employees retirement
system, the retirement program established by job service North Dakota under section
52-11-01, or the judges' retirement program established under chapter 27-17. For a
member of the public employees retirement system receiving an early retirement
benefit or the surviving spouse of that member, or a former participating member of the
defined contribution retirement plan who is receiving a periodic distribution and would
not meet the normal retirement provisions of the public employees retirement system,
the allowable monthly credit must be reduced by three percent if the member
terminates employment within one year before attaining the age of sixty-five and an
additional reduction factor of six percent applies for each year the member terminates
employment before attaining the age of sixty-four. For a member of the highway patrol
troopers' retirement system receiving an early retirement benefit or the surviving
spouse of that member, the allowable monthly credit must be reduced by three percent
if the member terminates employment within one year before attaining the age of
fifty-five and an additional reduction factor of six percent applies for each year the
member terminates employment before attaining the age of fifty-four. For a member of
the retirement program established by job service North Dakota under section
52-11-01 receiving an early retirement benefit or a discontinued service annuity under
the plan provisions of that retirement program or the surviving spouse of that member,
the allowable monthly credit must be reduced by three percent if the member
terminates employment within one year before attaining the age of sixty-five and an
additional reduction factor of six percent applies for each year the member terminates
employment before attaining the age of sixty-four.
3. The board shall apply the credit allowable under subsection 2 as elected by the eligible
participant to the payment of monthly premiums required of each individual eligible
under subsection 1 for hospital benefits coverage, medical benefits coverage, and
prescription drug coverage under any health insurance program and for dental, vision,
and long-term care benefits coverage under any insurance program. The board shall
allow spouses who each have credit under subsection 2 to combine the spouses'
credits and shall apply the combined credit to the required monthly premiums as
elected pursuant to this subsection. However, if the allowable credit under any
circumstance exceeds the monthly premium in effect for selected coverage, that
amount of the credit which exceeds the premium is forfeited and may not be used for
any other purpose.
4. As an alternative to the calculation of the allowable monthly credit under subsection 2,
the board may provide actuarially reduced benefit options for the member and the
member's surviving spouse, including a one hundred percent joint and survivor option
or a fifty percent joint and survivor option.