Eligibility for the Health Reimbursement Arrangement (HRA)
OPERS offers a Health Reimbursement Arrangement (HRA) to benefit recipients meeting certain age and service credit requirements. The HRA is an account funded by OPERS that provides tax-free reimbursement for qualified medical expenses such as monthly post-tax insurance premiums, deductibles, co-insurance, and copays incurred by eligible benefit recipients and their eligible dependents.
OPERS members retiring with an effective date of Jan. 1, 2022 or after will be eligible for the HRA by meeting one of the following criteria:
Age 65 or older
- Minimum of 20 years of qualified health care service credit
Age 60 - 64
- Group A – 30 years of total service with at least 20 years of qualified health care service credit
- Group B – 31 years of total service with at least 20 years of qualified health care service credit
- Group C – 32 years of total service with at least 20 years of qualified health care service credit
Age 59 or younger
- Group A – 30 years of qualified health care service credit
- Group B – 32 years of qualified health care service credit at any age or 31 years of qualified health care service credit and at least age 52
- Group C – 32 years of qualified health care service credit and at least age 55
Aging into eligibility
Providing a member has at least 20 years of qualified health care service credit at retirement, they will eventually be eligible for the HRA even if they are not eligible when they first retire.
- Members retiring at age 65 or older with at least 20 years of qualified service credit will be eligible for the HRA on their retirement date.
- Members retiring prior to reaching age 65 will be eligible at retirement or become eligible when they turn 60 or when they turn 65 depending on their service credit at retirement (see criteria above.)
Your Monthly HRA deposit
If you are eligible for the HRA based on the criteria previously listed, OPERS will fund your HRA with a monthly deposit. The amount of this deposit will be a percentage of a base allowance amount.
With an OPERS benefit effective date of Jan. 1, 2022 or after, your allowance percentage is determined by:
- Your years of qualified health care service credit as of your benefit effective date; and
- Your age when you first become eligible for the HRA.
2023 base allowance amounts:
Pre-Medicare benefit recipients: $1,200 per month
Allowance Percentages and monthly HRA deposits will range from 51% ($612.00 per month) to 90% ($1,080.00 per month) of the base allowance amount.
Medicare benefit recipients: $350 per month
Allowance Percentages and monthly HRA deposits will range from 51 percent ($178.50 per month) to 90 percent ($315.00 per month) of the base amount.
Where can I find my HRA allowance amount?
Your individual monthly HRA deposit amount is provided on your annual Open Enrollment statement. Or, if you are a new benefit recipient, this amount will be provided in your health care confirmation letter.
If you are not yet receiving an OPERS benefit, you can estimate your monthly HRA deposit in retirement through the Online Estimator within your OPERS online account. (link opens in new tab)
Eligibility for the HRA for OPERS disability benefit recipients
OPERS requires that disability benefit recipients apply for a disability benefit (SSDI) through the Social Security Administration and notify OPERS of the enrollment. If you are not eligible to receive a disability benefit through SSA, you may still be eligible for Medicare.
I receive a disability benefit from OPERS with an effective date:
If you receive a disability benefit from OPERS with an effective date on or before Dec. 1, 2013, you are eligible for the OPERS health care program (to receive monthly HRA deposits from OPERS and enroll in the OPERS vision and dental plans) regardless of age and/or years of qualifying service credit.
If you receive a disability benefit from OPERS with an effective date on or after Jan. 1, 2014, you will have access to the OPERS health care program only during the first five years you receive the disability benefit.
You may continue to be eligible for the OPERS health care program and monthly HRA deposits beyond five years if you become eligible for Medicare on the basis of a disability prior to the end of your first five years. If you are eligible for Medicare on the basis of disability or upon turning 65, you must meet one of the following criteria to continue to be eligible:
- Have a disability benefit effective date on or between Jan. 1, 2014 and Dec. 31, 2014 and have 10 years of qualified health care service credit.
- Have a disability benefit effective date on or between Jan. 1, 2015 and Dec. 31, 2021 and meet one of the age and service credit criteria:
- Age 60 or older
- Minimum of 20 years of qualified health care service credit
- Age 59 or younger
- Group A – 30 years of qualified health care service credit
- Group B – 32 years of qualified health care service credit at any age or 31 years of qualified health care service credit and at least age 52
- Group C – 32 years of qualified health care service credit and at least age 55
- Age 60 or older
- Have a disability benefit effective date on or after Jan. 1, 2022 and meet one of the age and service credit criteria.
A previous disability retirement based on a different condition will not qualify a new disability benefit application for an exception to the five-year rule.