AT&T Retiree Health Reimbursem*nt Account & Healthcare Coverage (2024)

While planning for every aspect of a fulfilling retirement can be complicated and stressful, it is important to digest your options piece by piece. As an employee or retiree from AT&T, important things to consider are the coverage and reimbursem*nts that are part of your health care.

If you have registered to participate in the Health Reimbursem*nt Account (HRA) through the AON Retiree Health Exchange (ARHE), you must also enroll in the Medigap, Part C (Advantage) or Part D (Prescription Drug Plan, Dental Plan, Vision Plan) to prevent the forfeiture of your participation in AT&T Healthcare as well as your HRA, which will terminate coverage for your dependent under AT&T’s Healthcare. At this point you may be asking, “What is an HRA?”. An HRA is a tax advantaged account that can only be funded by your employer and can be used to pay for qualified medical expenses under your plan.

Enrollment in Advantage, Medigap, and/or Medicare Part D Prescription Drug Coverage purchased through the ARHE will not only provide a wider breadth of health coverage but it will also provide eligible former AT&T employees an HRA Crediting Amount of $2,700. Additionally, an eligible dependent enrolled in one of the three options may be qualified to receive an HRA Crediting Amount of $1,500. Keep in mind that if the dependent is only enrolled in either Dental or Vision coverage through ARHE then they would only be eligible to receive $200 of HRA credit. If you qualify to receive HRA Credit Dollars for a partial year they will be prorated on a monthly basis $225 per month for an AT&T Retiree and $125 per month for a qualified dependent.

AT&T Retiree Health Reimbursem*nt Account & Healthcare Coverage (1)

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If you already qualified for the $2,700 HRA credit and you add Dental and/or Vision coverage, be sure that the ARHE does not change you from the $2,700 HRA credit to the $300 credit which ARHE has been known to do from time to time.

If you are married to another AT&T retiree, you each retain your own ARHE account. You will both be eligible for the $2,700 HRA credit. If one person is listed as a dependent of the other, the ARHE database may only designate a $1,500 HRA credit. In this case, you need to contact the ABC to correct the HRA amount, which should be $2,700 for each person.

If you have any unused HRA Credit Dollars at the end of a prior year, they will carry over into the current year. You are permitted to use your previous Carryover HRA Credit Dollars to reimburse last year’s eligible expenses. To do this, you must submit a Reimbursem*nt Claim to the Claims Administrator that must arrive before March 31 of the current year. You can also use the prior year’s Carryover HRA Credit Dollars for eligible expenses incurred during the current year. This eligibility starts April 1 of the current year when the previous year’s Carryover HRA Credit Dollars merge with the current year’s Carryover HRA Credit Dollars. You cannot use the current year’s HRA Credit Dollars for last year’s eligible expenses.

AT&T retirees who are married to another AT&T retiree are both eligible to have their own personal ARHE account if they both enroll. When two AT&T retirees are married to one another, and each are on the ARHE, they will both be eligible for the $2,700 HRA. On occasion, the electronic file sent by the AT&T Benefits Center to the AON Retiree Health Exchange for the ARHE database has listed one of the “Married To One Another AT&T Retirees” as a dependent. When this mistake is made, the ARHE will credit only the HRA with $1,500 for a dependent, rather than the $2,700 for which they are actually eligible. If the “dependent” is really an AT&T retiree, one should contact the ABC to set up a new and correct electronic file to be sent to the ARHE. If you and your spouse are AT&T retirees, please be on the look out for this confusion when you transition to the ARHE.

HRA Health Reimbursem*nt Account Reminder For AT&T Retirees Who Are Participating In The AON Retiree Health Exchange

As long as you remain a participant in the program, any unused HRA Credit Dollars at the end of the year will carry over to the following year. One is permitted to utilize Carryover HRA Credit Dollars for reimbursem*nt of the previous year's eligible expenses. To do this, you are required to submit a Reimbursem*nt Claim for the previous year’s eligible expenses to the claims administrator before March 31. You are not able to use this year’s regular HRA Credit Dollars to collect reimbursem*nt for the previous years eligible expenses. HRA Credit Dollars became available on January 1.

The HRA, ARHE And AT&T Retirees

Effective January 1, 2015 the HRA Health Reimbursem*nt Account with the healthcare coverage on the AON Retiree Health Exchange ARHE for selected AT&T Retirees and their dependents began for the inaugural time.

Effective January 1, 2017 AT&T retirees and their dependents who are under 65 Years of Age and are on Medicare due to disability will transition to the ARHE and HRA at the completion of 24 months of disability.

For more information, check out the AT&T Benefits Center website and on the home page go to the right and click on SPD/SMM/SBC/Legal Notices. All the SPD and SMM documentation that is relevant to AT&T will be listed, which you can view and/or download to your communication device. You may also call and order hardcopies of the SPD and SMM documentation and the 8 by 11 sized booklets will be mailed on us to your home address.

While this may seem very confusing, sitting down with a retirement specialist and going through your retirement from AT&Tis a good way to reduce stress during these perplexing times. Remember, you are not alone and we are here to help.

Although not a priority of your list, but very important, consider creating a cash flow analysis and budget before you resign or retire from AT&T to understand how to take severance (if offered), how to take the pension (if available), and whether you should relocate for one to two years to reach your Rule of 75.

If you would like more information on your AT&T Health Benefits, you can reach out to The Retirement Group for more details.

For more information on job postings in your area, click right here!

AT&T Retiree Health Reimbursem*nt Account & Healthcare Coverage (2024)


Do AT&T retirees get health insurance? ›

If you're an AT&T retiree or former employee and are eligible for Medicare, you and your dependents who are eligible for Medicare can get health coverage through Alight.

What are the changes for AT&T healthcare for retirees in 2024? ›

AT&T also stated that beginning for the benefit year of 2024 and beyond the Company will offer the company health care plan for those who are Medicare eligible through AT&T Medicare Advantage Plan and the premium for retirees will be zero cost and for a dependent $50.

What are the benefits of the YSA reimbursem*nt account? ›

The YSA Benefit Program provides you with annual “YSA Credits” to get reimbursed for the premiums that you pay for individual Medicare plans (e.g., Medigap Plans, Part D (Prescription Drug) Plans, and Medicare Advantage Plans) purchased through the Post-Employment TPA Exchange.

What is a retiree health premium account? ›

The RRA is a cost-effective alternative to group retiree medical plans. Retirees most commonly use RRAs for reimbursem*nt of Medicare premiums, but they can use their RRA to pay for expenses under Section 213(d) of the Internal Revenue Code, if the employer allows for it.

Does ATT offer health insurance? ›

Health & Wellness

List of Benefits: Medical, dental, and vision insurance. Personal Healthcare Team. Weight Management.

What benefits do retired AT&T employees get? ›

  • AT&T Pension Plan. The most important AT&T retirement benefit for most employees is their pension. ...
  • AT&T 401(k) Plan. While you're working, AT&T allows you to save a portion of each paycheck into a 401(k) account, where it has the ability to grow tax-deferred for future use. ...
  • AT&T Health Insurance. ...
  • AT&T Life Insurance.
Mar 8, 2023

What are the changes in AT&T healthcare in 2024 2023? ›

HRA (health reimbursem*nt account) is "going away" for 2024. The only option will be the UHC AT&T Group Medicare Advantage (PPO) Plan. The annual HRA contribution will go away at the end of 2023. Details from AT&T will follow during 2023.

How old do you have to be senior discount on AT&T? ›

Wireless Plan Discount for Seniors Age 55+ | AT&T Wireless.

Do AT&T retirees get a discount on Internet service? ›

AT&T does not currently provide senior-specific discounts or plans for internet service. However, they do have a few programs offering savings to eligible seniors.

What is a disadvantage of a health reimbursem*nt account? ›

And here are the biggest disadvantages: You can't contribute to your own HRA, so you are reliant on your employer to put money in. Your employer owns the account, and you lose your HRA money if you leave your job unless you elect COBRA coverage.

Is healthcare reimbursem*nt account worth it? ›

Tax-neutral – One of the major benefits of an HRA is that the employer's contributions do not count toward your gross income. And when you file a claim for a qualified medical expense, the reimbursem*nt is tax-neutral.

How does a health reimbursem*nt account work? ›

Health Reimbursem*nt Arrangements (HRAs) are employer-funded group health plans from which employees are reimbursed tax-free for qualified medical expenses up to a fixed dollar amount per year. Unused amounts may be rolled over to be used in subsequent years. The employer funds and owns the arrangement.

Is retiree health reimbursem*nt account taxable? ›

Are contributions to an HRA taxable to employees? Employees are not taxed on employer contributions. IRC Section 106 provides tax-exclusion for contributions an employer makes to an HRA.

Is Medicare free when you retire at 65? ›

Because you pay for Medicare Part A through taxes during your working years, most people don't pay a monthly premium. You're usually automatically enrolled in Part A when you turn 65 years old. If you're not, it costs nothing to sign up.

Are retiree health insurance premiums tax deductible? ›

Medical and Dental Expenses

Fortunately, some of these expenses are deductible if you itemize your personal deductions. These include health insurance premiums (including Medicare premiums), long-term care insurance premiums, prescription drugs, nursing home care, and most other out-of-pocket healthcare expenses.

What type of medical insurance do most retirees have? ›

Medicare. Medicare is a federally funded insurance program for eligible participants 65 or over. Medicare has two parts, Part A (Hospital Insurance) and Part B (Medical Insurance). Medicare does not cover 100% of all costs.

What is the AT&T retirement rule? ›

AT&T relies on the “modified rule of 75” to determine an employee's retirement eligibility, pension, and retiree medical benefits. Anyone nearing retirement should know his or her number. That is, how much you need saved to retire. As an AT&T employee nearing retirement, there's another important number to know.

What insurance company does AT&T use? ›

AT&T Mobile Insurance, AT&T Protect Insurance for 1 and AT&T Protect Insurance for 4 are underwritten by Continental Casualty Company, Chicago, IL, a CNA Company, and administered by Asurion Protection Services, LLC (in Iowa, Lic. #1001002300; in California, Asurion Protection Services Insurance Agency, LLC, Lic.

Does Affordable Care Act apply to retirees? ›

The Affordable Care Act helps early retirees by controlling costs for them, their families and their former employers, improving the quality of care for everyone, and strengthening Medicare. The Early Retiree Reinsurance Program provides much needed relief – for early retirees and for businesses.

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