Vestee Coverage
Vestees follow the same Medicare and plan option rules as retirees. Once you became a vestee, EBD became your new health benefits administrator (HBA).
As a vestee, you are responsible for the full monthly premium; there is no employer contribution.
If you end vestee coverage early through cancellation, by missing payments or not meeting Medicare enrollment requirements, you cannot reapply. You can only regain NYSHIP coverage by returning to State service or as an eligible dependent.
Note on Sick Leave Credit
When you became a vestee, you permanently forfeited your sick leave credit and may not apply it toward premium costs.
From Vestee to Retiree
To qualify for NYSHIP retiree coverage, a vestee must have active NYSHIP coverage when you start collecting your pension. If your vestee coverage lapses, even one day before reaching pension eligibility, you will be ineligible for retiree benefits.
When you reach the age of pension eligibility, your active vestee coverage will automatically convert to retiree coverage. You will return to paying only the employee share of the NYSHIP premium.
Continuous Vestee Coverage Example:
You are 52 years old. Because you have worked for the State for 12 years, you may leave payroll and enroll in vestee coverage. If your NYSHIP vestee coverage continues uninterrupted, you will automatically become a NYSHIP retiree at 55.
Disrupted Vestee Coverage Example:
You enroll in vestee coverage but miss your premium payments, causing your coverage to be cancelled two days before your 55th birthday. Because your vestee coverage lapsed, you are now ineligible for retiree coverage.