Program to help individuals save for retirement health care needs in era of rising costs, an aging workforce, government benefit deficits
New York, July 11, 2011
TIAA-CREF, a leading financial services provider, and Emeriti Retirement Health Solutions, a non-profit educational consortium established in 2005, today announced a new collaboration that will offer retiree health care benefit products, savings solutions and services for higher education institutions in the tax-exempt sector.
Under the new agreement, effective in 2012, TIAA-CREF will provide accumulation recordkeeping for Emeriti health accounts as well as investment management and trust services. Savitz, a provider of employee and retiree benefit services, will provide disbursement recordkeeping, including administration of retiree group health insurance and processing other out-of-pocket qualifying medical expenses. TIAA-CREF and Emeriti will help nonprofit clients evaluate retirement health plan options and provide assistance in the implementation of a retirement health care plan.
Today’s announcement expands upon TIAA-CREF’s existing retirement health care program, a solution providing administrative, recordkeeping, investment management and trustee services directly to institutions that sponsor a defined contribution retiree health plan. Now, TIAA-CREF can offer institutional clients more choices to best meet their retiree health security needs.
“Individuals need to factor in health care costs as part of the retirement planning equation. And, institutions face enormous challenges providing retirees with this type of security,” said Doug Chittenden, Senior Vice President, Institutional Product Management for TIAA-CREF. “TIAA-CREF’s relationship with Emeriti further underscores our commitment to meet this need with effective and innovative health care savings solutions.”
Through the collaboration with TIAA-CREF, Emeriti’s current member plans will now gain access to expanded investment options, better retirement plan integration, continuing group retiree health options, a new online health benefit website and expanded options for reimbursement of qualifying health expenses, including a debit card.
“Emeriti’s comprehensive approach can help institutions with transition strategies across the full spectrum of defined benefit to defined contribution approaches to retiree health benefits,” said Ken Cool, Emeriti’s President. “Emeriti recognizes each institution has its own complex and diverse set of employees and retirees, and there must be an equitable and sustainable solution for the long term.”
TIAA-CREF will assume management of plan assets from Emeriti’s current record keeper as of January 1, 2012.
TIAA-CREF (www.tiaa-cref.org) is a national financial services organization with $466 billion in combined assets under management (as of 3/31/11) and is the leading provider of retirement services in the academic, research, medical and cultural fields.
Emeriti Retirement Health Solutions is a non-profit organization that pioneered the defined contribution approach to retiree health saving, benefits, and services on behalf of the education and education-related community nationwide. Emeriti began research and program development in 2000 with multiple grants from The Andrew W. Mellon Foundation and The William and Flora Hewlett Foundation. Formally launched as a consortium in 2005, Emeriti leverages the purchasing power of expanding membership and achieves administrative efficiencies in the delivery of retiree health benefits and services. Emeriti is based in New Windsor, New York. For more information about Emeriti visit www.emeritihealth.org .
Savitz is a full-service employee/retiree benefits firm that has been providing employee benefit services, actuarial services, and benefits consulting support to employer groups nationwide for over 40 years. A number of larger companies use Savitz for pension and health benefits administration. Savitz has special strengths in retiree benefits administration, particularly for health and welfare benefits programs, such as Emeriti. Savitz is based in Philadelphia with offices in Atlanta, Boston, and New Jersey.
Jeannine DeFoe, TIAA-CREF
email@example.com 212 913-3501 Cell: 917 837-2094
Deb Ondo, Emeriti
firstname.lastname@example.org 845 567-6666, ext. 12
TIAA-CREF Individual & Institutional Services, LLC and Teachers Personal Investors Services, Inc., members FINRA, distribute securities products.
TIAA-CREF products may be subject to market and other risk factors. See the applicable product literature, or visit www.tiaa-cref.org for details.
TIAA-CREF Individual & Institutional Services, LLC, and Teachers Personal Investors Services, Inc., members FINRA, distribute securities products. Annuity contracts and certificates are issued by Teachers Insurance and Annuity Association (TIAA) and College Retirement Equities Fund (CREF), New York, NY.
Emeriti® Retirement Health Solutions, TIAA-CREF, and Savitz are independent organizations and are not legally affiliated.
Not all retirement plan providers were created equal. See the awards TIAA-CREF has earned from our industry