Special Issue of Retiree Matters

Posted on this website is a copy of the Retiree Matters newsletter  (FY 2017 Total Compensation Let’s Talk About FINAL) that you should have already received from the City. If you haven’t, please contact the City’s Human Resources Department at (210) 207-8705 to update your contact information. This special edition newsletter provides important retiree benefit information for 2017, including a retiree Cost-of-Living Adjustment (COLA) and retiree medical insurance premiums, which are based on years of service, number of covered dependents, and plan selected. Coverage and other amounts (copays, coinsurance, deductibles, out-of-pocket maximums) for both pre- and post-65 retirees remain essentially unchanged.


1)   All retirees that are being paid benefits from TMRS will receive a COLA in their annuity of approximately ½%. The COLA is calculated as 70% of the percentage increase in the annual Consumer Price Index (CPI) and is the maximum rate allowed by TMRS. 


2)   The same Delta Dental HMO and Davis Vision benefits will be offered in 2017. Dental premiums remain unchanged, while vision premiums are decreasing. RECOSA will continue to advocate for a dental PPO or similar option that would be more robust and cost effective for retirees.


3)   For post-65 retirees, the Medicare supplement insurance premiums increased approximately 7-8% with Humana in 2015, and decreased approximately 20% with Aetna Medicare Advantage (which replaced Humana) in 2016. Premiums are increasing approximately 6% with Aetna for 2017.  In other words, premiums with Aetna are still considerably less than they were with Humana.  The PPO, PPO Plus, and Pharmacy-Only coverage plans remain for 2017.


4)   For pre-65 retirees, medical insurance premiums increased approximately 7% with United Healthcare in 2015, and remained the same in 2016.  Next year the Third Party Administrator (TPA) is changing from United Healthcare to Blue Cross/Blue Shield of Texas, and CVS Health will manage pharmacy benefits. (Though CVS Health will manage pharmacy benefits, retirees can still choose from a large network of other pharmacies.) Premiums are increasing approximately 9% in 2017, primarily due to anticipated increases in medical costs. This results in an average annual increase of approximately 5% over the period 2014-2017. The City originally proposed an increase of 13.6% for 2017, but lowered this increase after discussions with RECOSA.  The Consumer Choice and New Value coverage plans remain for 2017.


We will continue to work closely with the City to preserve retiree health benefits and to minimize retiree benefit costs.


Additional information about health benefits will be provided in future communications.  Stay tuned.

About RECOSA Website Administrator

RECOSA is a non-profit organization of employees retired from the City of San Antonio. The mission of RECOSA is to inform retired municipal employees of the City of San Antonio and other stakeholders on matters concerning retiree healthcare and retirement benefits and to take such actions as necessary to protect and preserve these benefits in a responsible manner; to promote and sponsor activities for mutual benefit of all members; and to assist in maintaining and improving the quality of life for civilian retirees of the City of San Antonio.