Month: April 2021

You may now submit or update your beneficiary designation(s) electronically by logging into MyLAFPP, your member self-service portal. Updating your beneficiary designation through MyLAFPP is the fastest, easiest, and secure way to make beneficiary changes. Your changes will immediately update your pension record without any delays!

As an active member, it is very important to maintain a current beneficiary designation with LAFPP. Doing so ensures that your pension contributions and accrued interest will be paid to the person(s) of your choice and the refund will not be delayed by probate, regardless of your estate’s value.

Click here to learn more on why it is important to designate a beneficiary and how to submit/update your beneficiary designation online.

SPECIAL NOTICE: This article only applies to eligible retired members of Los Angeles Fire and Police Pensions and respective Qualified Surviving Spouses/Domestic Partners.

The new approved amount for the non-Medicare health subsidy maximum is $1,958.82 per month, effective July 1, 2021.

On April 1, 2021, the Board of Fire and Police Pension Commissioners approved a two percent increase to the non-Medicare health subsidy. With the increase to the non-Medicare health subsidy, the vast majority of pre-65 members will see a reduction in premiums and potentially experience lower out-of-pocket costs. In fact, the maximum subsidy will fully subsidize all LAFRA or LAPRA single-party and two-party non-Medicare plan premiums for members with a non-frozen subsidy and at least 25 years of service.

Each year, the Board has the authority to increase the non-Medicare subsidy by up to the lesser of 7% or the actuarial medical trend rate for the upcoming fiscal year. The non-Medicare actuarial medical trend rate for fiscal year 2021-2022 is 4.75%, therefore the Board had the authority to increase the subsidy by up to 4.75% this year. The approved 2% increase is consistent with the Board’s fiduciary duty to all members. The Board considered the following information that would potentially affect members:

• Impact to out-of-pocket premium costs for non-Medicare subsidy eligible retirees;
• Impact to retirees in multi-party Medicare plans; and
• Average premium changes among most eligible plans.

Do I qualify to receive the non-Medicare subsidy?

The actual increase in subsidy benefit per member is dependent upon eligibility and the retiree’s respective health plan premium. The approved increase to the maximum non-Medicare subsidy provides fully subsidized single- and two-party coverage for all eligible pensioners with 25+ years of service. Qualified survivors who are under the age of 65 and pensioners who are enrolled in a Board-approved HMO or PPO single-party Medicare health plan are not impacted by the maximum non-Medicare subsidy increase.

If you have questions or need more information regarding the non-Medicare Health Subsidy increase, please contact Medical & Dental Benefits at (213) 279-3115.