2009 FEHB Premium Rates
September 25, 2008
According to the Office of Personnel Management (OPM), enrollees with self-only coverage will pay, on average, $4.83 more each pay period (about $125 per year) next year.
Family coverage will cost an average $11.12 more per pay period. FEHB enrollees pay - on average - 30 percent of the total cost of a plan's premium, while the government pays 70 percent. Premiums, including the government share and the enrollee share, will increase an average 7.0 percent next year. Overall, the average enrollee share of the premium will increase 7.9 percent. Twenty percent of FEHB enrollees would see their share of premiums rise by less than 5.0 percent, based on 2008 enrollment data, states OPM. OPM also notes that enrollees in the Blue Cross Blue Shield Standard Option, the most popular FEHB plan choice, would see their share of the premium increase 12.9 percent for self-only coverage and 13.4 percent for self and family coverage.
"I appreciate the tough environment in which the FEHB Program currently operates," said Nancy Kichak, OPM's Associate Director for Strategic Human Resources Policy. "While we worked very hard to contain premium costs -- and we were more successful with some health plans than with others -- federal employees and retirees can take comfort in knowing they are enrolled in a solid program that provides outstanding benefits and customer service." Enrollees in Coventry Healthcare of Kansas (standard option, self and family plan) will see their premium share drop by 49.5 percent; others will see increases up to 173 percent.
"One hallmark of the FEHB Program is 'choice', meaning employees and retirees can use the Open Season to shop among plans and, perhaps, move to one that better meets their medical and financial needs," said Kay Ely, OPM's Associate Director for Human Resources Products and Services.
OPM conducts an annual Open Season to give federal employees and retirees the opportunity to select a new health plan; during the Open Season, current federal employees who are not enrolled may elect FEHB coverage. The Open Season also gives employees and retirees the chance to select supplemental dental and/or vision coverage. The 2009 Federal Benefits Open Season begins on Monday, November 10, 2008, and runs through Monday, December 8, 2008.
The Open Season also gives employees the opportunity to elect coverage under a tax-deferred Flexible Spending Account (FSA) for health care and/or dependent care, or to adjust an existing FSA. Current FSA enrollees must re-enroll for coverage in 2009 during the Open Season. In 2007, nearly 246,000 individuals had a Flexible Spending Account. By law, retirees are not eligible for FSA benefits.
The Open Season also can be used by employees and retirees to enroll in supplemental dental and/or vision insurance coverage. In 2008 -- in its second year of availability -- the Federal Employees Dental and Vision Insurance Program (FEDVIP) had more than 1 million enrollments.
In early November, OPM will provide more information that will help enrollees to compare the costs and benefits of different plans, plus details on the dental and visions plans.
http://www.myfederalretirement.com/public/280.cfm
urgh! urgh! urgh!
