One of our cycle-of-life events every fall is the annual health insurance enrollment period, preceded by an informative workshop presented by staff from the University of Minnesota Office of Human Resources (OHR). This year, OHR Health and Wellbeing Consultant Katie Kolodge explained the updates for 2025 and 2026, and her colleagues Jeff Altringer, Ryan Reisdorfer, and Lori Stotesbery were available for questions.

Kolodge noted that the federal Inflation Reduction Act has caused some health insurance plan changes. It eliminated the coverage gap and mandated a $2,000 out-of-pocket maximum on prescription drug costs. These are significant changes because, until now, the U of M plans were distinct because of their prescription drug coverage.  

For 2025, the changes are primarily financial. The OHR 2025 Benefits Enrollment Guide for Retirees has been mailed and should be delivered by the week of October 21. You can also find a PDF of the guide via the OHR website.

For those retirees currently enrolled in U of M retiree health plans, you will see the familiar list of four health insurance companies and eight plans. Plan 1 from each company has higher premiums and lower out-of-pocket costs, while Plan 2 has lower premiums and higher out-of-pocket costs. Two of the eight plans are at the same rate, one has a 45 percent cost increase over this year, and increases for the rest range from 5 to 17 percent. 

The enrollment guide includes comparison charts, which should be consulted closely to determine which plan best fits your needs, as well as a list of questions to help guide your decision-making. There are contact numbers for questions about the U of M plans offered by each of the four insurance companies. 

If you are keeping the same plan for 2025, no action is needed. 

If you are changing plans you must complete and submit the Continuation of Coverage form at the back of the guide by November 30. You will also need to inform your current insurance company to cancel coverage at the end of this year. 

Dental plan options are staying the same, but rates are changing. 

If you want to learn more about how Open Enrollment works and what your benefit options are at the University, OHR is hosting an Open Enrollment webinar at 12 p.m. on Friday, November 1. There is a link to register for the webinar on the OHR Open Enrollment website. 

Bigger changes in the works for 2026

For 2026, bigger changes are in the works. There are many reasons: The federal changes minimized the distinctiveness of the U of M plans; costs are increasing; some retirees want different levels of coverage; and many employers, including higher ed, are moving to individual marketplace offerings. OHR’s goal is “to provide our retirees with expanded choice, expert navigation, and a better enrollment experience,” Kolodge said. 

OHR has issued a request for proposal (RFP) for 2026, asking vendors to create a marketplace offering a greater number of plans and to provide certified navigators to help retirees choose plans that best fit their needs. OHR will spend this fall on vendor analysis and selection. Two UMRA members serve as our representatives on the U of M Benefits Advisory Committee and are part of the RFP review process. 

To stay informed, you can sign up for email updates on the project on OHR’s Retiree Medical Plan Change RFP webpage.  

If you have questions, you can also contact [email protected] or 612-624-8647 or 800-756-2363 and someone will respond. 

—Julie Sweitzer, UMRA president

Update your contact information

If you have changed your email address, make sure you let UMRA know so that you will continue to receive communication from UMRA on this and other important topics. Go to retirees.umn.edu > Update Your Record.