Deal Struck on Detroit Retiree Health Care

By: Associated Press
By: Associated Press

DETROIT (AP) -- An agreement has been reached in a health insurance dispute between bankrupt Detroit and some city retirees.
The deal announced Friday by mediators likely ends a lawsuit by retirees. A court hearing set for next week has been canceled.
Some features of the deal include the increase to $300 in the monthly stipend for retirees over age 65 who are not eligible for Medicare. The stipend for retirees under age 65 will be upped to $175 if the household income is less than $75,000 and the retiree acquires insurance under a health exchange.
The city last year had proposed shifting some retirees to Medicare and giving a monthly stipend to retirees under age 65 to buy their own insurance.
The mediators say the deal was reached Thursday night.


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