Insurance benefits in retirement

A comparison of benefits available to retirees and active employees

Retiree Benefits	Active Employee Benefits
Health, including prescription drug coverage and $2,500 Basic Term Life NOTE: Currently, you need 10 years of service credit with an agency or institution that participates in the Texas Employees Group Benefits Program (GBP) to be eligible for GBP retiree insurance.	Health, including prescription drug coverage and $5,000 Basic Term Life and accidental death & dismemberment (AD&D)
Dental	Dental
Vision	Vision
Optional Term Life - Election 1 or 2, or $10,000 Fixed Optional Life	Optional Term Life - Election 1, 2, 3 or 4
Dependent Term Life - $2,500	Dependent Term Life - $5,000
TexFlex^SM flexible spending accounts - Health care or limited-purpose account: Retirees can continue participation through COBRA and file claims for eligible expenses incurred throughout the plan year. They cannot enroll (or re-enroll) after retirement or make contributions from their annuity checks. The TexFlex debit card is deactivated on the last day of the month in which employment ends.	TexFlex - Health care or limited-purpose and/or dependent care flexible spending accounts: Active employees, including return-to-work retirees with active employee benefits, can fully participate in TexFlex.
Texa$aver^SM 401(k) / 457 Program - Retirees can keep their Texa$aver accounts and can roll over funds from other retirement accounts into their Texa$aver accounts. Retirees cannot enroll in, have a loan on or contribute to a Texa$aver account – unless they return to work at a state agency or higher education institution that participates in Texa$aver.	Texa$aver – ERS automatically enrolls every active employee in a 401(k) account at 1%. They can stop enrollment, increase their contribution and make other changes to their accounts. Retirees who return to work for State of Texas agencies and participating higher education institutions can contribute to their Texa$aver accounts, whether they are enrolled in retiree benefits or active employee benefits.
-	Voluntary AD&D insurance
-	Texas Income Protection Plan^SM (TIPP) short-term and long-term disability insurance
-	Premium conversion and other tax savings – Active employees who participate in certain insurance plans and/or savings/spending accounts have premiums and/or other contributions deducted from their paychecks pre-tax, thereby lowering their taxable income.

ERS benefits are subject to change without notice and depend on funding by the Texas Legislature, as well as member contributions.

Retiring before age 65? See Health insurance benefits if you're retiring before age 65.