Insurance Benefits at Retirement

Employees considering retirement should first contact the Office of Human Resource Management to discuss all necessary steps and requirements.

Insurance plans not carried into retirement by the employee cannot be added after retirement. Changes to applicable plans and covered dependents can still be made during Annual Enrollment each year in retirement.

Health Insurance

Retirees may continue medical coverage upon retirement if eligibility requirements for age and years of service under TRSL or LASERS is met. Members of TRSL’s Optional Retirement Plan must meet the eligibility requirements, as defined by the TRSL, to continue coverage. Please contract HRM with any questions concerning retirement eligibility. 

If participation in a health plan through the State of Louisiana began on or after January 1, 2002, the state subsidy of the premium after retirement will be based on the number of years participated in a Group Benefits program. Employees with continuous coverage from prior to 2002 through their retirement are grandfathered into the 75% premium category below.

If a spouse and/or dependent began participating in a health plan through the State of Louisiana on or after July 1, 2002, the state subsidy of their premium after retirement (upon retiree's death) will be based on the number of years they have participated in a Group Benefits program.

The following schedule is used in determining the state's subsidy of a retiree's premium. Click on the percentage for premium rates:

Years of Participation Percentage of Premium
Less than 10 years 19% of premium paid by State
10 years or more, but less than 15 years 38% of premium paid by State
15 years or more, but less than 20 years 56% of premium paid by State
20 years or more  75% of premium paid by State

Employees enrolled in health insurance are required to complete the following forms prior to retirement: Health Insurance Continuation/Cancellation Forms.

Health insurance (along with AD&D and OGB Life Insurance) premiums will be deducted from the monthly retirement check for TRSL and LASERS retirees. 

ORP retirees must complete the Authorization for Insurance Deductions Form to have the LSU Payroll draft monthly premiums from your bank account in retirement.

Notice regarding Medicare: Retirees and their dependents who continue their LSU-sponsored medical coverage and who are eligible to enroll in Medicare are required to enroll and remain enrolled in Medicare Part A and Part B. Failure to do so could result in loss of LSU-sponsored coverage. 

Other Insurance Types

Accidental Death and Dismemberment (AD&D)

Stand Alone AD&D automatically continues into retirement without a change in premium.  Employees can elect to cancel coverage at any time prior to retirement.  Contact hr@lsu.edu for assistance.

 

Dental & Vision Insurance

Dental & Vision Insurance coverage may be continued through retirement without a change in premium.

Continuation of coverage paperwork will be mailed to retiree by United Healthcare after retirement date. Premiums will be paid directly to United Healthcare in retirement.

 

Flexible Spending Accounts 

You may only submit claims for expenses incurred on or before the date of retirement. Claims must be filed within 30 days of the end of the month in which you retire. 

 

Identity Protection

Identity Protection coverage may be continued through retirement without a change in premium.

Continuation information will be emailed to retiree’s LSU email address from Identity Force. Premiums will be paid directly to Identity Force in retirement.

 

Life Insurance 

LSU System Life (UHC): 

  • Employees under age 70 at the time of retirement can elect to port this policy to an individual life policy.  Portability form with new individual premium rates will be mailed to retiree.
  • Employees age 70 or over at the time of retirement can convert policy to a whole life insurance policy.  Conversion form to request a quote for whole life will be mailed to retiree.

OGB Life (Prudential):

  • Term Life Insurance coverage automatically continues through retirement at the same premium rates. 
  • Premiums will be deducted from LASERS and TRSL retirement checks.
  • ORP retirees must complete the Authorization for Insurance Deductions Form to have the LSU Payroll office draft monthly premiums from your bank account in retirement.
  • On January 1st at age, 65, a 25% reduction from the original coverage amount will occur.
  • On January 1st at age 70, an additional 25% reduction from the original coverage amount will occur. 

 

Long Term Care

Long Term Care insurance coverage can be continued into retirement at the same premium rate.

Portability form will be mailed to retiree.  Premiums will be paid directly to UNUM in retirement.

 

Long-Term Disability, Accident Protection, and Critical Illness Insurance coverage cannot be continued into retirement. 

   

COBRA

COBRA (Consolidated Omnibus Budget Reconciliation Act) is a federal law, which requires that group plans offer covered employees and dependents the opportunity to continue health, dental and vision insurance as well as Healthcare FSA participation when coverage would normally end for certain specified reasons. The following provisions outline the requirements for continued coverage in accordance with the law:

  • You and your covered dependents may continue coverage for up to 18 months if coverage ends because of either a permanent reduction in the number of hours worked or termination of employment for any reason other than gross misconduct. You and/or your covered dependent must apply and remit premium within 60 days of the date coverage ends or the date you are notified of your continuation rights, whichever is later.
  • Your dependents may continue their coverage under the group plan for up to 36 months if their coverage ends for any of the following reasons:
    • Divorce from employee
    • Death of employee, or
    • Dependent child reaches the maximum age or otherwise ceases to qualify as a dependent under the plan.

Paperwork for COBRA coverage will be mailed to the employee directly from the insurance provider after the active coverage ends.

Coverage would be effective the first of the month following the event.