State Police Retirement Health Program Qualifies for Federal Assistance Under Health Care Reform Law

HARRISBURG, Pa., Sept. 27 /PRNewswire-USNewswire/ -- Governor Edward G. Rendell announced today that the Retired Pennsylvania State Police Program (RPSPP) for health benefits has been accepted into a federal program to help offset the rising health care costs for retirees.

The Early Retiree Reinsurance Program (ERRP) is part of the federal health care reform law signed earlier this year. It provides $5 billion in assistance to employers - including businesses, schools, unions, non-profits and state and local governments - to help them maintain coverage for retirees who are not yet eligible for Medicare.  

"Our state troopers put their lives on the line each day to protect the lives of citizens," said Governor Rendell.  "This federal program will help to protect their retirement benefits against rising health care costs, as well as provide much needed financial relief to more than 100 other employers throughout the state."

Under the ERRP, employers can submit health benefits claims for retirees age 55 and older who are not yet eligible for Medicare, their spouses and dependents for reimbursement of up to 80 percent of the costs between $15,000 and $90,000.  The savings will help offset other costs associated with health care reform - such as requiring employers to cover children up to age 26.  

The RPSPP covers more than 8,000 retirees and dependents, and could receive an estimated $18 million over the next three years.

Members with questions should contact the Office of Administration's Bureau of Employee Benefits and Services at 717-787-9872.

Earlier this month, the U.S. Department of Health and Human Services announced that the commonwealth's Retired Employees Health Program (REHP) was accepted into the federal program.  The REHP covers more than 95,000 retirees and dependents.  It is expected to receive to an estimated $119 million over the next three years.  

Editor's Note: To learn more about the Early Retiree Reinsurance Program and view all of the employers that have qualified, visit the U.S. Department of Health and Human Services website.  

Media contacts:

Dan Egan, OA; 717-772-4237

Mia DeVane, Governor's Office; 717-783-1116

SOURCE Pennsylvania Office of the Governor