FEHBP Rates Announced as Open Season Approaches

Participants in the Federal Employees Health Benefits Program (FEHBP) can expect to pay higher premiums in 2021, with an expected average increase of 4.9%. On average, federal employees will pay $7.89 more toward their health premiums per biweekly pay period next year. This hike is lower than that of last year, which was an increase of 5.6%.

There is also an updated plan comparison tool being rolled out this year which helps enrollees identify plans, particularly plans with Medicare options like those which offer Medicare Part B reimbursement. With 276 plan choices, federal employees can easily compare which ones is best suited to their needs.

Additionally, there is an increased focus this year on telehealth access, which has gained popularity due to the COVID-19 pandemic. Given the opioid epidemic, there is also a push for addiction support and treatment options. 

Laurie Bodenheimer, Acting Director of OPM Healthcare and Insurance, explained, “Increasing telehealth coverage under FEHB has been a focus for us for at least the past four years, and perhaps a side effect of the pandemic is that both enrollees and providers have significantly increased and have become comfortable with that.”

Since prescription use has remained relatively constant since the onset of the pandemic, or just slightly increased, pharmacy spending is expected to increase as a preventative measure. FEHB carriers must waive cost-sharing and prior authorization requirements for any COVID-19 diagnostic or antibody testing. Once an approved vaccine for COVID-19 becomes available, all FEHB carriers must cover it without any cost-sharing in less than 15 business days.

Plans will be available to browse as early as October 15, 2020 to allow federal employees to pre-browse available options. Open Season runs from November 9 through Dececember 14. Participants in the FEHBP will have an opportunity to make changes to their health, dental and vision plans ahead of the upcoming benefit year, which begins January 1.

Federal employees can also register for and attend the virtual benefits fair which begins on November 9, 2020 and runs through the entirety of open season.