Assigned to FIN FOR COMMITTEE
ARIZONA STATE SENATE
Fifty-Seventh Legislature, First Regular Session
FACT SHEET FOR H.B. 2689
cancer insurance; public safety; retirees
(NOW: cancer insurance retirees; public safety)
Purpose
Effective January 1, 2026, prescribes requirements for the Public Safety Personnel
Retirement System (PSPRS) Board of Trustees when determining the cost of the Cancer Insurance
Program (CIP) premium.
Background
PSPRS provides a uniform, consistent and equitable statewide retirement program to public
safety personnel who are regularly assigned to hazardous duty of the type expected of peace
officers and fire fighters. The PSPRS Board of Trustees (PSPRS Board) administers the CIP for
participating employers. The CIP is a welfare benefit plan intended to pay expenses incurred in the
treatment of cancer. By July 31 each year, the PSPRS Board must notify employers of the amount
payable for the costs of the CIP and the amount charged to each employer may not exceed $180
per employee. An eligible participant must have cancer that was first diagnosed after the person's
date of membership in PSPRS, the Corrections Officer Retirement Plan or the PSPRS Defined
Contribution Plan.
On retirement, persons who were either receiving CIP benefits before retirement or who
are diagnosed with cancer subsequent to retirement remain eligible for CIP coverage for the total
of five months per year of service plus actual time spent in the Deferred Retirement Option Plan.
A person whose eligibility to receive CIP benefits is expiring may continue to remain eligible for
CIP coverage if the person makes an election with the PSPRS Board and pays the premium to the
PSPRS Board (A.R.S. ยงยง 38-642; 38-643; and 38-644).
There is no anticipated fiscal impact to the state General Fund associated with this
legislation.
Provisions
1. Requires the PSPRS Board, when determining the cost of the CIP premium, to determine the
cost to PSPRS for persons who opt to continue coverage, except for those persons who were
either receiving CIP benefits before retirement or who are diagnosed with cancer subsequent
to retirement, and to set an actuarily determined premium to cover the costs.
2. Makes technical changes.
3. Becomes effective on January 1, 2026. FACT SHEET
H.B. 2689
Page 2
House Action
PSLE 2/20/25 DPA/SE 12-0-0-3
3
rd
Read 3/4/25 56-2-2
Prepared by Senate Research
March 19, 2025
MG/ci