19-20-1101. Withholding of group insurance premium from retirement allowance. (1) A retired member who is a participant in an approved employer-sponsored group insurance plan may elect to have the monthly premium for the group insurance withheld from the member’s retirement allowance by the retirement system. Premiums withheld must be paid directly to the sponsoring employer.

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Terms Used In Montana Code 19-20-1101

  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Benefit recipient: means a retired member, a joint annuitant, or a beneficiary who is receiving a retirement allowance. See Montana Code 19-20-101
  • Employer: means :

    (a)the state of Montana;

    (b)a public school district, as provided in 20-6-101 and 20-6-701;

    (c)the office of public instruction;

    (d)the board of public education;

    (e)an education cooperative;

    (f)the Montana school for the deaf and blind, as described in 20-8-101;

    (g)the Montana youth challenge program, as defined in 10-1-101;

    (h)a correctional facility, as defined in 41-5-103;

    (i)the Montana university system;

    (j)a community college; or

    (k)any other agency, political subdivision, or instrumentality of the state that employs a person who is designated a member of the retirement system pursuant to 19-20-302. See Montana Code 19-20-101

  • Joint annuitant: means the one person that a retired member who has elected an optional allowance under 19-20-702(2), (4), or (5) has designated to receive a retirement allowance upon the death of the retired member. See Montana Code 19-20-101
  • Member: means a person who has an individual account in the annuity savings account. See Montana Code 19-20-101
  • plan: means the teachers' retirement system of the state of Montana provided for in 19-20-102. See Montana Code 19-20-101
  • Process: means a writ or summons issued in the course of judicial proceedings. See Montana Code 1-1-202
  • retirement benefit: means a monthly payment due to a retired member who has qualified for service or disability retirement or due to a joint annuitant or beneficiary. See Montana Code 19-20-101

(2)Upon the death of a retired member, the joint annuitant or beneficiary, if eligible, may elect to continue to have the monthly insurance premium withheld from a monthly retirement benefit.

(3)Each month, using the retirement system’s online employer reporting system, the employer shall commence withholding, cease withholding, or process any necessary adjustments to the premium amount on behalf of the benefit recipient, including verification that all authorized insurance deductions are correct.

(4)The employer shall notify the benefit recipient of any changes related to the premiums, including any changes to the premium amount, prior to the effective date of the change.