Retires that retired before July 1, 2014 do not have to pay anything to the District for their health coverage. Once a retiree turns 65, he/she pays the Medicare Part B rate out of their Social Security check. The rate that is charged by the Feds is dependent upon a variety of factors.

Retirees who retired after July 1, 2014 and are under 65 pay the District the base Medicare Part B rate for individual coverage and twice that amount for family coverage. As the Medicare Part B rate goes up, so does the amount that retirees must pay the District.

Once a retiree turns 65, Medicare becomes primary. They pay Medicare whatever rate that the Feds charge for Part B coverage. At that time, the District halves the amount that is owed to the District. So an individual is charged ˝ the base Medicare Part B rate and 1x the Medicare Part B rate for family coverage. Again, as the Medicare Part B rates goes up, so does the amount that retirees must pay the District.

What gets confusing is the Medicare may charge the individual something different that the base rate because of the retirees’ income. The district charges the base Medicare Part B rate. And while the government only increased the Medicare Part B rates for individuals who turned 65 after 1/1/2017, our rate goes up with the increase in the base rate. So many retirees wouldn’t have gotten a rate increase from Medicare but they are from the district.

2017 Retiree insurance premium notification.pdf