New Hampshire Retirement System Medical Subsidy Plan Description
General Information about the OPEB Plan
The following OPEB disclosures for the New Hampshire Retirement Medical Subsidy Plan
are based on an actuarial valuation performed as of June 30, 2019, using a measurement
date of June 30, 2020.
Plan Description
In addition to the OPEB plan discussed previously, the City participates in the New
Hampshire Retirement System (NHRS) Medical Subsidy. The NHRS administers a cost-
sharing, multiple-employer defined benefit postemployment medical subsidy healthcare
plan designated in statute by membership type. The four membership groups are Group I]
Police Officer and Firefighters, Group I Teachers, Group I Political Subdivision Employees
and Group I State Employees. Collectively, they are referred to as the OPEB Plan.
NHRS issues publicly available financial reports that can be obtained by writing to them
at 54 Regional Drive, Concord, New Hampshire 03301-8507 or from their website at
www.nhrs.org.
Benefits Provided
The OPEB Plan provides a medical insurance subsidy to qualified retired members. The
medical subsidy is a payment made by NHRS to the former employer or their insurance
administrator toward the cost of health insurance for a qualified retiree, his/her qualified
spouse, and his/her certifiably dependent children with a disability who are living in the
household and being cared for by the retiree. Under specific conditions, the qualified
beneficiaries of members who die while in service may also be eligible for the medical
subsidy. The eligibility requirements for receiving OPEB Plan benefits differ for Group I
and Group I] members. Group I benefits are based on creditable service, age, and retirement
date. Group II benefits are based on hire date, age, and creditable service.
The OPEB Pian is closed to new entrants. The monthly Medical Subsidy rates are:
1 Person - $375.56
2 Person - $751.12
1 Person Medicare Supplement - $236.84
2 Person Medicare Supplement - $473.68
Contributions
Pursuant to RSA 100-A:16, III, and the biennial actuarial valuation, funding for the
Medical Subsidy payment is via the employer contributions rates set forth by NHRS.
Employer contributions required to cover that amount of cost not met by the members’
contributions are determined by a biennial actuarial valuation by the NHRS actuary using
the entry age normal funding method and are expressed as a percentage of Earnable
Compensation. The City contributed 0.298% of earnable compensation for Group I
employees, 1.81% of earnable compensation for Group I teachers, and 3.66% of earnable
compensation for Group II (fire and police department) members. Employees are not
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