<div dir="ltr"><div class="gmail_default" style="font-family:verdana,sans-serif;font-size:small"><img src="cid:ii_mn6hc8e50" alt="image.jpeg" width="288" height="53" style="color: rgb(46, 116, 181); font-family: "Calibri Light", sans-serif; font-size: 16pt;"></div>
<p class="MsoNormal" style="margin:0in 0in 8pt;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"> </p>
<p class="MsoNormal" style="margin:0in 0in 8pt;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">March 25, 2026</span></p>
<table class="gmail-MsoNormalTable" border="0" cellspacing="0" cellpadding="0" width="642" style="width:481.5pt;border-collapse:collapse">
<tbody><tr>
<td width="54" valign="top" style="width:40.5pt;padding:0in 5.4pt">
<p class="MsoNormal" style="margin:3pt 0in;line-height:normal;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">To:</span></p>
</td>
<td width="551" valign="top" style="width:413.2pt;padding:0in">
<p class="MsoNormal" style="margin:3pt 0in 3pt 5.3pt;line-height:normal;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">UCR
Emeriti & Retirees</span></p>
</td>
<td style="border:none;padding:0in" width="37"><p class="MsoNormal" style="margin:0in 0in 8pt;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"> </p></td>
</tr>
<tr>
<td width="54" valign="top" style="width:40.5pt;padding:0in 5.4pt">
<p class="MsoNormal" style="margin:3pt 0in;line-height:normal;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">From:</span></p>
</td>
<td width="551" valign="top" style="width:413.2pt;padding:0in">
<p class="MsoNormal" style="margin:3pt 0in 3pt 5.3pt;line-height:normal;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">UCR
Retirement Center on behalf of UCR Central HR Benefits Office </span></p>
</td>
<td style="border:none;padding:0in" width="37"><p class="MsoNormal" style="margin:0in 0in 8pt;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"> </p></td>
</tr>
<tr>
<td width="54" valign="top" style="width:40.5pt;border-top:none;border-right:none;border-left:none;border-bottom:1pt solid windowtext;padding:0in 5.4pt">
<p class="MsoNormal" style="margin:3pt 0in;line-height:normal;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">Re:</span></p>
</td>
<td width="551" valign="top" style="width:413.2pt;border-top:none;border-right:none;border-left:none;border-bottom:1pt solid windowtext;padding:0in">
<p class="MsoNormal" style="margin:3pt 0in 6pt 5.05pt;line-height:normal;font-size:11pt;font-family:Calibri,sans-serif"><b><span style="font-family:Arial,sans-serif"><span class="gmail_default" style="font-family:verdana,sans-serif;font-size:small"></span>Significant Policy Changes to the Group Insurance
Regulations for Retired Members, Disabled Members, and
Survivors Effective 1/1/2026</span></b><span style="font-family:Arial,sans-serif"></span></p>
</td>
<td style="border:none;padding:0in" width="37"><p class="MsoNormal" style="margin:0in 0in 8pt;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"> </p></td>
</tr>
<tr>
<td width="642" colspan="3" valign="top" style="width:481.5pt;padding:0in 5.4pt">
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">UCOP
has advised that as of January 1, 2026, Retirement Program Services
implemented revisions to the Group Insurance Regulations (GIRs) for Retired
Members, Disabled Members, and Survivors (formerly “Annuitant Health &
Welfare Plan GIRs”) following UC Legal review and approval by the Plan
Administrator. These updates include technical, compliance</span><span style="font-family:"Cambria Math",serif">‑</span><span style="font-family:Arial,sans-serif">related, and policy amendments that
affect retirees, disabled members, survivors, and future enrollees. The
summary below highlights the most significant changes. These revisions align
Retiree Health practices with Employee Health & Welfare plans, clarify
eligibility rules, and improve administrative consistency.</span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
<p class="MsoNormal" style="margin:0in 0in 6pt;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><b><span style="font-family:Arial,sans-serif">Medicare Offset Penalty Clarification (Plan Sections
6008.F–G)</span></b></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif">The
revised regulations clarify the administration of the Medicare Offset
Penalty.</span></p>
<p class="gmail-MsoListParagraphCxSpFirst" style="margin:0in 0in 0in 0.5in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Symbol">·<span style="font-variant-numeric:normal;font-variant-east-asian:normal;font-variant-alternates:normal;font-size-adjust:none;font-kerning:auto;font-feature-settings:normal;font-stretch:normal;font-size:7pt;line-height:normal;font-family:"Times New Roman"">
</span></span><span style="font-family:Arial,sans-serif">Members
who fail to enroll in Medicare, fail to assign Medicare to their Retiree
Health Coverage, or fail to maintain Medicare enrollment will be assessed a
monthly, non</span><span style="font-family:"Cambria Math",serif">‑</span><span style="font-family:Arial,sans-serif">refundable
administrative penalty, currently <b>$419.60 per month per individual</b> out
of compliance.</span></p>
<p class="gmail-MsoListParagraphCxSpMiddle" style="margin:0in 0in 0in 0.5in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Symbol">·<span style="font-variant-numeric:normal;font-variant-east-asian:normal;font-variant-alternates:normal;font-size-adjust:none;font-kerning:auto;font-feature-settings:normal;font-stretch:normal;font-size:7pt;line-height:normal;font-family:"Times New Roman"">
</span></span><span style="font-family:Arial,sans-serif">Beginning
with the 2027 plan year, the penalty will be equal to <b>three (3) times the
Medicare Part B premium.</b></span></p>
<p class="gmail-MsoListParagraphCxSpLast" style="margin:0in 0in 0in 0.5in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Symbol">·<span style="font-variant-numeric:normal;font-variant-east-asian:normal;font-variant-alternates:normal;font-size-adjust:none;font-kerning:auto;font-feature-settings:normal;font-stretch:normal;font-size:7pt;line-height:normal;font-family:"Times New Roman"">
</span></span><span style="font-family:Arial,sans-serif">The
penalty will increase annually thereafter in accordance with changes to the
Part B premium as adjusted by the Centers for Medicare & Medicaid
Services (CMS).</span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><b><span style="font-family:Arial,sans-serif">Note: </span></b><span style="font-family:Arial,sans-serif">The
GIRs for retiree Vision, Legal, and AD&D, as well as the Annuitant
Administrative Supplements, remain under review.</span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><b><span style="font-family:Arial,sans-serif">Attached are the following resources:</span></b></p>
<p class="gmail-MsoListParagraphCxSpFirst" style="margin:0in 0in 0in 0.5in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Symbol">·<span style="font-variant-numeric:normal;font-variant-east-asian:normal;font-variant-alternates:normal;font-size-adjust:none;font-kerning:auto;font-feature-settings:normal;font-stretch:normal;font-size:7pt;line-height:normal;font-family:"Times New Roman""> </span></span><span style="font-family:Arial,sans-serif">Summary of the Retiree GIRs Policy
Changes (attached)<b></b></span></p>
<p class="gmail-MsoListParagraphCxSpMiddle" style="margin:0in 0in 0in 0.5in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Symbol">·<span style="font-variant-numeric:normal;font-variant-east-asian:normal;font-variant-alternates:normal;font-size-adjust:none;font-kerning:auto;font-feature-settings:normal;font-stretch:normal;font-size:7pt;line-height:normal;font-family:"Times New Roman""> </span></span><span style="font-family:Arial,sans-serif">UCnet article: “<a href="https://ucnet.universityofcalifornia.edu/employee-news/changes-to-enrollment-in-retiree-health-benefits/" style="color:rgb(5,99,193)">2026
changes make it easier to enroll in retiree health benefits</a>”<b></b></span></p>
<p class="gmail-MsoListParagraphCxSpLast" style="margin:0in 0in 0in 0.5in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Symbol">·<span style="font-variant-numeric:normal;font-variant-east-asian:normal;font-variant-alternates:normal;font-size-adjust:none;font-kerning:auto;font-feature-settings:normal;font-stretch:normal;font-size:7pt;line-height:normal;font-family:"Times New Roman""> </span></span><span style="font-family:Arial,sans-serif">Revised regulations: available at <a href="https://ucnet.universityofcalifornia.edu/for-hr-administrators/health-welfare-benefits/group-insurance-regulations/" style="color:rgb(5,99,193)">Group
Insurance Regulations | UCnet</a><b></b></span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
<p class="MsoNormal" style="margin:0in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
<p class="gmail-MsoListParagraph" style="margin:0in 0in 0in 0.5in;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
</td>
</tr>
<tr>
<td width="642" colspan="3" valign="top" style="width:481.5pt;padding:0in 5.4pt">
<p class="MsoNormal" align="center" style="margin:6pt 0in 0in;text-align:center;line-height:105%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p>
</td>
</tr>
</tbody></table>
<p class="MsoNormal" style="margin:0in;text-align:justify;line-height:110%;font-size:11pt;font-family:Calibri,sans-serif"><span style="font-family:Arial,sans-serif"> </span></p><br></div>