Public Safety Benefits Can Significantly Affect OPEB Liabilities

Federal, state and local regulations often include mandated health benefits for officers disabled in the line of duty. These benefits are a way to reward officers for protecting and serving the public at great risk of bodily harm. The value of these benefits must be accounted for under GASB accounting rules, and there are a […]Read More… from Public Safety Benefits Can Significantly Affect OPEB Liabilities

OPEB Participation Rates – “Kind of a Grey Area” Under Healthcare Reform

One of the highest impact assumptions in OPEB actuarial valuations is the participation rate.  This rate represents the percent of future retirees assumed to participate in the employer’s health plan during retirement. The participation assumption has a direct and leveraged effect on OPEB liabilities.  For example, if the assumption is that 60% of employees are assumed to elect coverage […]Read More… from OPEB Participation Rates – “Kind of a Grey Area” Under Healthcare Reform

How will the “Cadillac Tax” impact your OPEB plan?

 Although the effect of healthcare reform on retiree health plans is difficult to gauge at this point, there are several provisions that could impact the long-term costs   and strategies for employer plans. Let’s start with the so-called “Cadillac Tax” on high-cost insurance plans effective in 2018.  What it is: A non-deductible 40% excise tax paid by the […]Read More… from How will the “Cadillac Tax” impact your OPEB plan?