DEDUCTIONS FROM SERVICE OR DISABILITY RETIREMENT ANNUITY FOR CERTAIN UNIVERSITY INSURANCE PROGRAM CONTRIBUTIONS

(a) In this section, "program administrator" means the person who administers the uniform program under Section 1601.051, Insurance Code. (b) A retiree who is participating in the uniform program under Chapter 1601, Insurance Code, may authorize the retirement system to deduct the amount of the contribution and any other qualified health insurance premium from the retiree's regular monthly service or disability retirement annuity payment if the amount of the monthly annuity is greater than or equal to the amount of the authorized deduction. (c) A retiree may authorize the deduction described by Subsection (b) on a form provided by the program administrator. The program administrator shall maintain the record of the authorization made under this section. (d) The program administrator shall: (1) notify the retirement system of the authorization under Subsection (b); and (2) in the manner and form prescribed by the retirement system, provide the retirement system with the names of the retirees and other relevant information needed by the retirement system to administer the deduction. (e) After making the deduction, the retirement system shall pay to the program administrator an aggregate amount for all retirees who authorize annuity deductions under Subsection (b). (f) If a retiree no longer receives a monthly annuity greater than or equal to the amount of the authorized deduction, the retirement system: (1) shall inform the program administrator; and (2) is not required to make a deduction under this section for the retiree. (g) The retirement system shall make the authorized deduction each month until: (1) the date the annuity is no longer payable by the retirement system; (2) the retirement system is notified by the program administrator that the retiree has canceled the authorization to make the deduction; or (3) the amount of the monthly annuity is no longer greater than or equal to the amount of the authorized deduction as described by Subsection (f). (h) The program administrator shall reimburse the retirement system the cost, as determined by the retirement system, incurred by the retirement system in implementing this section. (i) This section does not apply to an individual described by Section 824.007(b).