TelCo Association Member Alert!!

AT&T recently sent letters to all Medicare eligible retirees announcing that they plan to move them to a private health care exchange that will be provided by Aon Hewitt in 2015. This is not an unprecedented action by AT&T. Hundreds of employers have already taken this action and AT&T believes this will enable retirees to choose the health coverage that best fits their individual needs by purchasing health care coverage for yourself and/or your Medicare-eligible dependents.

The communications pieces that were sent out were designed to fit the individual circumstances of three retiree groups. First, only those who are Medicare eligible are impacted by this action with the exception of those who are “grandfathered” in healthcare plans that guaranteed lifetime benefits. In the latter case AT&T plans to honor that guarantee.

Secondly, the group of retirees that receive a subsidized health care program (not all do). AT&T plans to continue to subsidize these plans via an HRA (Health Care Reimbursement Account) at an amount approximately the same as today’s subsidy.

Third, those retirees that are not qualified for a subsidy. This group will be able to benefit from more choices and have the flexibility to choose an insurance plan with terms and costs that best suits their needs…in some cases lower cost plans.

AT&T sent these communications pieces in an effort to alert each retiree group of the impact to them, so each group received a similar but slightly different letter. What you received is specific to your situation and could be different than your friend next door, so don’t be confused by the differences.

Most importantly…nothing is required of you at this time. AT&T has committed to communicate more detailed information to the impacted groups in April of this year. If more specific information is provided to TelCo prior to that we will communicate it via the website…right here! If you have specific questions, please call 1-877-348-3526 (1-87TelCo) number. I look forward to talking with you.


Monte Baggs, Vice President.

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Healthcare reform act passed by congress. It explains just about everything one would want to know about the new law and outlines when certain provisions become effective.