CalSTRS’ Medicare Premium Payment Program (MPPP) for Medicare Part A

CalSTRS’ Medicare Premium Payment Program (MPPP) for Medicare Part A

Overview

The CalSTRS Medicare Premium Payment Program was established by California legislation in 2000 and can be found in the Teachers’ Retirement Law (Section 25940). The MPPP is funded in part by employer contributions.

Under the MPPP, CalSTRS pays Medicare Part A hospital insurance premiums for eligible retired members. Premium costs vary and are not determined by CalSTRS.

Check with your employer to see if your health care coverage and your eligibility for the MPPP will be affected if you decide to reinstate to active CalSTRS service.

General Information

History

The Teachers’ Retirement Board has investigated alternatives to relieve the financial burden associated with health care coverage for many retired educators. Paying Medicare Part A premiums for those without premium-free Medicare Part A coverage is an important step toward that goal.