Employees must participate in the HCSP as adopted by their bargaining unit or employer. However, you may opt out of the plan if you qualify under one of these circumstances, provide appropriate documentation, and are pre-approved by MSRS (see  "To opt out of the HCSP" below).

Qualifying circumstances

  • Eligible for TRICARE retiree benefits - You or your spouse must be retired military (20 years of service) at time you apply for the waiver and therefore, eligible for TRICARE retiree benefits now or in the future.

  • Service-connected disability - Must be priority group 1, 2, or 3

  • Foreign national - Must plan to return to your country of origin after you leave MN public employment

  • Eligible for comprehensive, lifetime health insurance OR Native American eligible for tribal insurance coverage -
    To qualify, coverage must be:

    • provided until death;
    • 70% paid for by the employer;
    • provided by a source other than employer sponsoring your HCSP (coverage can be provided by a former employer, spouse's employer, or tribe).

Medicare does not qualify you to opt out of the HCSP.

Before you waive coverage

It is important that you understand the benefit of having an HCSP account to help you pay for rising health care costs, not just in retirement, but anytime after you leave Minnesota public employment.

Waiving participation is irrevocableYou will not have another opportunity to participate in the HCSP, even if you change jobs and are employed by another Minnesota public employer.

To learn more, see Considering opting out of the HCSP (pdf)

To opt out of the HCSP 

The request to opt out of the HCSP should be made before your first contribution to the plan. However, you may opt out any time during employment, but before retirement.

  1. Contact the MSRS Service Center at 1-800-657-5757 to request the appropriate waiver form.

  2. Send your completed waiver form and supporting, appropriate documentation to MSRS (see form for instructions).

  3. If your request is approved, MSRS will send confirmation to you and notify your employer.

MSRS cannot refund or reverse contributions applied to your account prior to the approval of the waiver

Contributions made to the HCSP prior to the approval of the waiver will remain in your account. The funds can be accessed for reimbursement of eligible out-of-pocket medical expenses incurred after you leave employment. If you believe contributions were remitted by the employer in error, please contact your human resource/benefits department.