Coverage for Retirees

The Plan offers eligible employees an opportunity to enroll in the Early Retirement Incentive Program (ERIP). ERIP provides coverage for you and your covered eligible dependents until your 65th birthday on a self-pay basis, if you retire before your 65th birthday and meet certain criteria determined by the Board of Trustees. Generally, you will be eligible for ERIP coverage if you meet the following guidelines:

• You must have Unit 1 coverage in the month immediately preceding the month in which the ERIP coverage begins. The coverage available under ERIP is the same coverage you had in the month immediately preceding the month in which the ERIP coverage begins. Please note: If you are required to pay any portion of your health insurance, as per your Collective Bargaining Agreement, you must enroll in health care benefits during the open enrollment period. You should select the same coverage during open enrollment that you are interested in purchasing through the ERIP Program. For example, if you only elect employee coverage on the Open Enrollment Election form, then you can only elect single (employee) coverage for ERIP.
  You must advise the Health and Welfare office of your intent to begin coverage under the ERIP program by submitting a completed enrollment form, no later than your last day of work.
• You are not eligible for Medicare.
• You must work one day in the calendar year in which the ERIP coverage begins.
• You must meet the criteria listed under a., b., or c. below:
  1. If you are 62-64 years of age and have twenty (20) years of continuous participation in this Health and Welfare Fund
  2. If you are 62-64 years of age and have twenty (20) years of continuous employment with the contributing employer (or a predecessor employer) if the employer has contributed to the Health and Welfare Fund for at least ten (10) years.
  3. If you are 62-64 years of age, have twenty (20) years of service under one or more of the following Pension Plans, and are eligible, as well as approved for an early or normal retirement benefit from one or more of the following Pension Plans:
     • UFCW Local 655 Food Employers Joint Pension Plan
     • UFCW Midwest Pension Plan
     • UFCW Local 534 Grocery Pension Plan
     • UFCW Local 534 Meat Pension Plan

You fully meet any other optional eligibility guidelines that may be established by the Trustees of the Welfare Fund.

If you are eligible under the ERIP, you must pay one-half (½) of your monthly retiree health care coverage until you reach age sixty-five (65).

You should contact the Welfare Fund office for information about eligibility if you have questions about ERIP coverage. The Trustees reserve the right to modify or discontinue the provisions of the Early Retirement Incentive Program at their discretion.

As with all of the benefits provided under this Plan, the benefits provided to retirees and their eligible dependents are not guaranteed to continue. The Trustees reserve the right and discretion to alter, amend, reduce or terminate those benefits, as they deem appropriate.

Spouse and Dependent Continued Coverage Through Early Retirement Incentive Program (ERIP)

If you enrolled for family coverage under the Early Retirement Incentive Program (ERIP) and your eligibility ends when you reach age 65, your spouse and children will be offered the opportunity to pay for continuation coverage. The self-pay rates for coverage are equal to the self-pay rates under COBRA. To continue coverage, your spouse and eligible dependents must:

• Pay for the coverage; and
• Waive their rights to COBRA continuation coverage.

Your spouse may continue coverage until:

• Your spouse reaches Medicare eligibility age;
• Your spouse dies;
• You and your spouse divorce;
• Your spouse does not pay for coverage; or
• The Plan ends.

Your eligible dependent may continue coverage:

• As long as the dependent remains an eligible dependent;
• Until payments for coverage end; or
• Until the Plan ends.