OPERS Health Reimbursement Arrangement: How the HRA Works for Retirees

What the OPERS HRA Actually Does

Since 2022, OPERS retiree health care runs through a Health Reimbursement Arrangement — not the old self-insured plan many members remember. The HRA deposits a monthly allowance into your account. You pick your own health insurance plan through the OPERS exchange platform (pre-Medicare) or the Medicare Connector administered by Via Benefits (once you hit 65), and the HRA reimburses eligible premiums and medical expenses.

The Board of Trustees sets HRA funding levels each year. In 2025, the base pre-Medicare HRA deposit is $1,200 per month for eligible retirees, adjusted by age and qualifying service credit years. Your actual deposit depends on how many qualifying health care service credit years you've accumulated — more years means a higher percentage of the base allowance.

This is discretionary funding, not a guaranteed statutory entitlement. The Board can adjust allowance levels, and has done so. But for planning purposes, the HRA is the framework every OPERS retiree navigates.

The 20-Year Service Credit Threshold

At age 65 or older, OPERS lists 20 years of qualifying health care service credit as the threshold. Before age 65, eligibility also depends on age and transition group; members under 60 can need 30 or 32 years of qualifying health credit instead of 20.

Qualifying health care service credit isn't identical to your pension service credit. It's based on contributing service, which means periods where you actually paid into OPERS. Purchased military service, restored refunded credit, and out-of-state credit may or may not count depending on the specific purchase type. Check your annual statement or call an OPERS counselor to confirm your qualifying health care total separately from your pension credit total.

For pre-Medicare members ages 60 to 64, the threshold combines health care and pension service credit:

• Group A: 30 years pension credit plus 20 years health care credit
• Group B: 31 years pension credit plus 20 years health care credit
• Group C: 32 years pension credit plus 20 years health care credit

For members under age 60, the rules are different: Group A requires 30 years of qualifying health care credit; Group B requires 32 years (or 31 years at age 52); and Group C requires 32 years of qualifying health care credit and age 55 or older.

How the Monthly Deposit Scales

Your HRA amount is adjusted based on age and qualifying health care service credit. Use OPERS's applicable table or request an estimate; the 2025 base amount alone does not determine an individual deposit.

Two members retiring at the same age can receive different monthly HRA deposits based on their qualifying service credit. Check the applicable OPERS table for the percentage that applies to your record.

Medicare vs. Pre-Medicare: Two Different Paths

Once you turn 65 and enroll in Medicare Parts A and B, you move from the pre-Medicare exchange to the OPERS Medicare Connector run by Via Benefits. The HRA still deposits monthly, but you're now using it to offset Medicare supplement premiums, Part D prescription drug plans, and other Medicare-related expenses.

Pre-Medicare retirees shop for individual health plans through the OPERS exchange platform. These are standard ACA-compliant individual market plans — not group coverage through OPERS. The HRA reimburses premiums, but you're buying retail insurance.

Dental and vision coverage is separate. MetLife handles dental and Aetna handles vision, and retirees pay the full premium for both through benefit deductions. No HRA subsidy applies to dental or vision.

Auditing Your Health Care Credit Before Filing

Start this audit at least 12 months before your target retirement date. Pull your most recent annual statement and look specifically at the qualifying health care service credit line — not just total pension credit. Check your age and transition group against the applicable threshold, and ask OPERS whether any purchasable service counts as qualifying health care credit. Service credit purchases must be fully paid before your effective retirement date, so waiting until the last month to discover a shortfall can mean permanently losing access to the program.

If you're navigating this transition alongside plan-of-payment elections and PLOP decisions, our OPERS Retirement Guide walks through the full T-12 timeline with health care verification built into the countdown sequence.

What Happens If You Don't Qualify

Members who retire without meeting the health care service threshold that applies to their age and transition group do not qualify for OPERS HRA deposits. Other coverage may include ACA marketplace plans (with premium tax credits depending on income), COBRA from your last employer for up to 18 months, or a spouse's employer plan if available.

This makes the service credit audit consequential. Ask OPERS whether a potential purchase counts toward your applicable health care threshold and compare the purchase estimate with your HRA eligibility and benefit estimate. The guide's Health Care Eligibility Tracker worksheet helps you map your position.

See more Ohio guides →