Home /
News /
ERRP Increases Cost Threshold and Limit Beginning October 1st
News
ERRP Increases Cost Threshold and Limit Beginning October 1st
On August 12, 2011, the Early Retiree and Reinsurance Program (ERRP) announced increases in the cost threshold and cost limit for early retiree reimbursements for plan years beginning on or after October 1, 2011. The new cost threshold will be $16,000 and the new cost limit will be $93,000. Any early retiree eligible health care costs above $16,000 and up to $93,000 will be eligible for an 80% reimbursement to the health plan by the ERRP.
For early retiree eligible health care costs incurred and paid in a plan year that began prior to October 1, 2011, will still be eligible for reimbursement at the current cost threshold of $15,000 and cost limit of $90,000.