Greg Abbott on Monday directed the Teacher Retirement System of Texas Board of Trustees to pursue premium reductions for retired educators enrolled in TRS-Care, aiming to lower Medicare Advantage insurance costs while maintaining the program’s long-term financial stability.
Abbott said the move builds on recent state investments in retired teachers and is intended to provide additional financial relief.
“Texas has long supported the retired public educators who dedicated their careers to teaching the next generation of Texans,” Abbott said in a statement. “The state’s ongoing support for retired educators has created another opportunity to return savings directly to our retired teachers.”
The directive calls for the maximum feasible reductions that would not jeopardize the fiscal health of the TRS-Care fund, which provides health insurance coverage for retired public school employees.
State leaders in recent years have approved significant funding increases tied to educator retirement benefits.
In 2023, Abbott signed legislation providing a cost-of-living adjustment and supplemental payments to retirees, representing a $5 billion investment that permanently increased monthly annuities.
In 2025, the state also approved more than $4 billion in funding for teacher and staff pay raises as part of a broader public education package.
Further details on potential premium reductions will be determined by the TRS board.
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