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URL:
https://www.govexec.com/pay-benefits/2024/05/mixed-reactions-medicare-part-d-fehb/396630/
Submission: On May 17 via manual (May 17th 2024, 10:31:56 pm UTC) from US — Scanned from US

Form analysis
5 forms found in the DOM

/search/

<form class="search-box-input-holder" action="/search/">
  <input class="search-box-input" type="text" name="q" placeholder="Search" required="">
  <button type="submit" class="search-box-submit">
    <svg class="search-box-submit-svg">
      <use xlink:href="/static/b/base/svg/spritesheet.svg?v=19.1.0#icon-arrow-right-1b"></use>
    </svg>
  </button>
</form>

POST /newsletter-subscribe

<form class="subscribe-form" action="/newsletter-subscribe" method="post"><input type="hidden" name="source-signup" value="ge-rail-post"><input type="hidden" name="newsletter-retirement-planning" value="on">
  <div class="form-group"><label class="subscribe-label"><span class="sr-only">email</span>
      <div class="input-group"><span class="input-group-prepend"><svg class="subscribe-email-icon">
            <use xlink:href="/static/b/base/svg/spritesheet.svg?v=19.1.0#icon-envelope"></use>
          </svg></span><input class="form-control form-control-lg" name="email" type="email" placeholder=" Enter your email " required="" autocomplete="email"><span class="input-group-append"><button class="btn btn-secondary"
            type="submit"><i class="fa fa-caret-right fa-3x"></i></button></span></div>
    </label></div>
</form>

POST /newsletter-subscribe

<form class="survey-modal-form" action="/newsletter-subscribe" method="post">
  <fieldset>
    <input type="hidden" name="source-signup" value="">
    <input type="hidden" name="email" value="">
    <input type="hidden" name="is-survey" value="1">
    <div class="form-group survey-modal-full-name">
      <label for="full-name" class="survey-modal-label">Full Name</label>
      <input class="form-control form-control-lg survey-modal-field" id="full-name" name="full-name" type="text" autocomplete="name">
    </div>
    <div class="form-group survey-modal-i-work-for">
      <label for="employer" class="survey-modal-label">I Work For...</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" id="employer" name="i-work-for">
        <option value="" disabled="" selected="">— select —</option>
        <option value="Department of Defense (Civilian)">Department of Defense (Civilian)</option>
        <option value="Department of Defense (Military)">Department of Defense (Military)</option>
        <option value="Federal Government">Federal Government</option>
        <option value="State/Local Government">State/Local Government</option>
        <option value="Government Contractor">Government Contractor</option>
        <option value="Private Sector">Private Sector</option>
        <option value="Retired">Retired</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-civilian-branch">
      <label for="civilian-branch" class="survey-modal-label">Agency/Department</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" id="civilian-branch" name="civilian-branch">
        <option value="" disabled="" selected="">— select —</option>
        <option value="Department of the Air Force">Department of the Air Force</option>
        <option value="Department of the Army">Department of the Army</option>
        <option value="Department of the Navy">Department of the Navy</option>
        <option value="Joint Chiefs of Staff">Joint Chiefs of Staff</option>
        <option value="National Intelligence Agency">National Intelligence Agency</option>
        <option value="Office of the Secretary of Defense">Office of the Secretary of Defense</option>
        <option value="Other Defense Agency">Other Defense Agency</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-military-branch">
      <label for="military-branch" class="survey-modal-label">Agency/Department</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" id="military-branch" name="military-branch">
        <option value="" disabled="" selected="">— select —</option>
        <option value="Air Force">Air Force</option>
        <option value="Army">Army</option>
        <option value="Coast Guard">Coast Guard</option>
        <option value="Navy">Navy</option>
        <option value="Marines">Marines</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-fed-gov-agency-dept">
      <label for="fed-gov-agency-dept" class="survey-modal-label">Agency/Department</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" id="fed-gov-agency-dept" name="fed-gov-agency-dept">
        <option value="" disabled="" selected="">— select —</option>
        <option value="Department of Agriculture" class="fed-gov-agency-dept">Department of Agriculture</option>
        <option value="Department of Commerce" class="fed-gov-agency-dept">Department of Commerce</option>
        <option value="Department of Education" class="fed-gov-agency-dept">Department of Education</option>
        <option value="Department of Energy" class="fed-gov-agency-dept">Department of Energy</option>
        <option value="Department of HHS" class="fed-gov-agency-dept">Department of HHS</option>
        <option value="Department of Homeland Security" class="fed-gov-agency-dept">Department of Homeland Security</option>
        <option value="Department of HUD" class="fed-gov-agency-dept">Department of HUD</option>
        <option value="Department of Interior" class="fed-gov-agency-dept">Department of Interior</option>
        <option value="Department of Justice" class="fed-gov-agency-dept">Department of Justice</option>
        <option value="Department of Labor" class="fed-gov-agency-dept">Department of Labor</option>
        <option value="Department of State" class="fed-gov-agency-dept">Department of State</option>
        <option value="Department of Transportation" class="fed-gov-agency-dept">Department of Transportation</option>
        <option value="Department of Treasury" class="fed-gov-agency-dept">Department of Treasury</option>
        <option value="Department of Veterans Affairs" class="fed-gov-agency-dept">Department of Veterans Affairs</option>
        <option value="EPA" class="fed-gov-agency-dept">EPA</option>
        <option value="Executive Office of the President/Vice President" class="fed-gov-agency-dept">Executive Office of the President/Vice President</option>
        <option value="Federal Bureau of Investigation" class="fed-gov-agency-dept">Federal Bureau of Investigation</option>
        <option value="Federal Communications Commission" class="fed-gov-agency-dept">Federal Communications Commission</option>
        <option value="Federal Trade Commission" class="fed-gov-agency-dept">Federal Trade Commission</option>
        <option value="GSA" class="fed-gov-agency-dept">GSA</option>
        <option value="Judiciary Branch" class="fed-gov-agency-dept">Judiciary Branch</option>
        <option value="Legislative Branch" class="fed-gov-agency-dept">Legislative Branch</option>
        <option value="NASA" class="fed-gov-agency-dept">NASA</option>
        <option value="National Institute of Health" class="fed-gov-agency-dept">National Institute of Health</option>
        <option value="OMB" class="fed-gov-agency-dept">OMB</option>
        <option value="OPM" class="fed-gov-agency-dept">OPM</option>
        <option value="SSA" class="fed-gov-agency-dept">SSA</option>
        <option value="USPS" class="fed-gov-agency-dept">USPS</option>
        <option value="Other Agency" class="fed-gov-agency-dept">Other Agency</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-state-local-agency-dept">
      <label for="state-local-agency-dept" class="survey-modal-label">Agency/Department</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" id="state-local-agency-dept" name="state-local-agency-dept">
        <option value="" disabled="" selected="">— select —</option>
        <option value="Government Association" class="state-local-agency-dept">Government Association</option>
        <option value="County" class="state-local-agency-dept">County</option>
        <option value="Municipal" class="state-local-agency-dept">Municipal</option>
        <option value="Special District" class="state-local-agency-dept">Special District</option>
        <option value="State" class="state-local-agency-dept">State</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-education">
      <label for="education" class="survey-modal-label">Agency/Department</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" id="education" name="education">
        <option value="" disabled="" selected="">— select —</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-organization-function">
      <label for="organization-function" class="survey-modal-label">Organization Function</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" name="organization-function" id="organization-function">
        <option value="" disabled="" selected="">— select —</option>
        <option value="Elected Official/Legislative/Executive Office">Elected Official/Legislative/Executive Office</option>
        <option value="Environment/Energy">Environment/Energy</option>
        <option value="Finance/Budget">Finance/Budget</option>
        <option value="Health &amp; Human Services">Health &amp; Human Services</option>
        <option value="Public Safety/Emergency Services/Law Enforcement">Public Safety/Emergency Services/Law Enforcement</option>
        <option value="Technology">Technology</option>
        <option value="Transportation/Utilities/Infrastructure">Transportation/Utilities/Infrastructure</option>
        <option value="Other">Other</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-organization-name">
      <label for="organization_name" class="survey-modal-label">Please Provide Your Org.'s Name</label>
      <input class="form-control form-control-lg survey-modal-field" id="organization_name" name="organization-name" type="text" autocomplete="organization">
    </div>
    <div class="form-group survey-modal-industry">
      <label for="industry" class="survey-modal-label">Industry</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" name="industry" id="industry">
        <option value="" disabled="" selected="">— select —</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-job-title">
      <label for="job_title" class="survey-modal-label">Job Title</label>
      <input class="form-control form-control-lg survey-modal-field" id="job_title" name="job-title" type="text" autocomplete="job-title">
    </div>
    <div class="form-group survey-modal-job-function">
      <label for="job-function" class="survey-modal-label">Job Function</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" name="job-function" id="job-function">
        <option value="" disabled="" selected="">— select —</option>
        <option value="Agency Leadership">Agency Leadership</option>
        <option value="Business &amp; Operations">Business &amp; Operations</option>
        <option value="Communications &amp; Marketing">Communications &amp; Marketing</option>
        <option value="Financial/Contract Management">Financial/Contract Management</option>
        <option value="Human Resource Management">Human Resource Management</option>
        <option value="Technology Management">Technology Management</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-phone-number">
      <label for="phone-number" class="survey-modal-label">Phone Number</label>
      <input class="form-control form-control-lg survey-modal-field" id="phone-number" name="phone-number" type="tel" autocomplete="tel">
    </div>
    <div class="form-group survey-modal-postal-code">
      <label for="postal_code" class="survey-modal-label">Zip code</label>
      <input class="form-control form-control-lg survey-modal-field" id="postal_code" name="postal_code" type="text" autocomplete="postal-code">
    </div>
    <div class="form-group survey-modal-country">
      <label for="country" class="survey-modal-label">Country</label>
      <select class="form-control form-control-lg custom-select survey-modal-field" id="country" name="country">
        <option value="United States">United States</option>
        <option value="EEA (European Economic Area)">EEA (European Economic Area)</option>
        <option value="Canada">Canada</option>
        <option value="Other">Other</option>
      </select>
      <div class="survey-modal-select-icon-container">
        <div class="survey-modal-select-icon">▼</div>
      </div>
    </div>
    <div class="form-group survey-modal-country-other">
      <label for="country_other" class="survey-modal-label">Country Name</label>
      <input id="country_other" type="text" name="country_other" class="form-control form-control-lg survey-modal-field" autocomplete="country-name">
    </div>
    <div class="form-check">
      <label class="form-check-label subscribe-third-party optin-regular">
        <input class="form-check-input" type="checkbox" name="third_party" checked="">
        <span class="newsletters-partner-text">Yes, I want to receive occasional updates from partners</span>
      </label>
    </div>
    <div class="form-check">
      <label class="form-check-label subscribe-third-party optin-eea">
        <input class="form-check-input" type="checkbox" name="third_party_eea">
        <span class="newsletters-partner-text"> I agree to the use of my personal data by Government Executive Media Group and its partners to serve me targeted ads.
          <a class="survey-modal-learn-more-link" href="https://www.govexec.com/about/privacy-policy/" target="_blank">Learn more</a>. </span>
      </label>
    </div>
    <div class="d-flex flex-row-reverse">
      <input class="survey-modal-submit" type="submit" value="Submit">
    </div>
  </fieldset>
</form>

POST /newsletters/subscribe/conversion-module/govexec-today/

<form class="conversion-module-signup-form " action="/newsletters/subscribe/conversion-module/govexec-today/" method="post">
  <fieldset>
    <legend class="conversion-module-signup-form-title">
      <span class="conversion-module-signup-form-title-line1"> Get federal business news in your inbox. </span>
      <span class="conversion-module-signup-form-title-line2"> Sign up for Govexec Today </span>
    </legend>
    <input id="conversion-module-nl-source_signup" name="source_signup" type="hidden" value="ge-mod-conv-dt">
    <input id="conversion-module-nl-run_through_id" name="run_through_id" type="hidden">
    <div class="conversion-module-signup-form-email form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-nl-email"> My email is ... </label>
      <input autocomplete="email" class="form-control form-control-xl" id="conversion-module-nl-email" name="email" placeholder="email@example.com" required="required" type="text">
    </div>
    <div class="conversion-module-signup-form-employer form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-nl-employer"> I work for ... </label>
      <select class="form-control form-control-xl" id="conversion-module-nl-employer" name="employer" required="required">
        <option value="" selected="selected">--select--</option>
        <option value="Department of Defense (Civilian)">Department of Defense (Civilian)</option>
        <option value="Department of Defense (Military)">Department of Defense (Military)</option>
        <option value="Federal Government">Federal Government</option>
        <option value="State/Local Government">State/Local Government</option>
        <option value="Government Contractor">Government Contractor</option>
        <option value="Private Sector">Private Sector</option>
        <option value="Retired">Retired</option>
      </select>
    </div>
    <div class="conversion-module-signup-form-optin form-group">
    </div>
    <div class="conversion-module-signup-form-submit form-group">
      <button class="conversion-module-signup-form-submit-btn btn btn-default" type="submit">
        <span class="conversion-module-signup-form-submit-text">
          <span class="conversion-module-signup-form-submit-arrow"></span> Sign up </span>
      </button>
    </div>
  </fieldset>
  <a class="conversion-module-signup-form-link" href="https://www.govexec.com/about/privacy-policy/" target="_blank">Privacy Policy</a>
</form>

POST /newsletters/subscribe/conversion-module/govexec-today/thank-you/

<form class="conversion-module-signup-form " action="/newsletters/subscribe/conversion-module/govexec-today/thank-you/" method="post">
  <fieldset>
    <legend class="conversion-module-signup-form-title">
      <span class="conversion-module-signup-form-title-line1"> Almost There! </span>
      <span class="conversion-module-signup-form-title-line2"> Help us tailor content specifically for you: </span>
    </legend>
    <input id="conversion-module-thank-you-source_signup" name="source_signup" type="hidden" value="ge-mod-conv-dt">
    <input id="conversion-module-thank-you-run_through_id" name="run_through_id" type="hidden">
    <input id="conversion-module-thank-you-email" name="email" type="hidden">
    <div class="conversion-module-signup-form-full_name form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-thank-you-full_name"> Full Name </label>
      <input autocomplete="name" class="form-control form-control-xl" id="conversion-module-thank-you-full_name" name="full_name" placeholder="" type="text">
    </div>
    <div class="conversion-module-signup-form-agency_department form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-thank-you-agency_department"> Agency/Department </label>
      <select class="form-control form-control-xl" id="conversion-module-thank-you-agency_department" name="agency_department" placeholder="">
        <option value="" selected="selected">--select--</option>
        <option class="agency-department-civilian-branch" value="Department of the Air Force">Department of the Air Force</option>
        <option class="agency-department-civilian-branch" value="Department of the Army">Department of the Army</option>
        <option class="agency-department-civilian-branch" value="Department of the Navy">Department of the Navy</option>
        <option class="agency-department-civilian-branch" value="Joint Chiefs of Staff">Joint Chiefs of Staff</option>
        <option class="agency-department-civilian-branch" value="National Intelligence Agency">National Intelligence Agency</option>
        <option class="agency-department-civilian-branch" value="Office of the Secretary of Defense">Office of the Secretary of Defense</option>
        <option class="agency-department-civilian-branch" value="Other Defense Agency">Other Defense Agency</option>
        <option class="agency-department-military-branch" value="Air Force">Air Force</option>
        <option class="agency-department-military-branch" value="Army">Army</option>
        <option class="agency-department-military-branch" value="Coast Guard">Coast Guard</option>
        <option class="agency-department-military-branch" value="Navy">Navy</option>
        <option class="agency-department-military-branch" value="Marines">Marines</option>
        <option class="agency-department-federal-government" value="Department of Agriculture">Department of Agriculture</option>
        <option class="agency-department-federal-government" value="Department of Commerce">Department of Commerce</option>
        <option class="agency-department-federal-government" value="Department of Education">Department of Education</option>
        <option class="agency-department-federal-government" value="Department of Energy">Department of Energy</option>
        <option class="agency-department-federal-government" value="Department of HHS">Department of HHS</option>
        <option class="agency-department-federal-government" value="Department of Homeland Security">Department of Homeland Security</option>
        <option class="agency-department-federal-government" value="Department of HUD">Department of HUD</option>
        <option class="agency-department-federal-government" value="Department of Interior">Department of Interior</option>
        <option class="agency-department-federal-government" value="Department of Justice">Department of Justice</option>
        <option class="agency-department-federal-government" value="Department of Labor">Department of Labor</option>
        <option class="agency-department-federal-government" value="Department of State">Department of State</option>
        <option class="agency-department-federal-government" value="Department of Transportation">Department of Transportation</option>
        <option class="agency-department-federal-government" value="Department of Treasury">Department of Treasury</option>
        <option class="agency-department-federal-government" value="Department of Veterans Affairs">Department of Veterans Affairs</option>
        <option class="agency-department-federal-government" value="EPA">EPA</option>
        <option class="agency-department-federal-government" value="Executive Office of the President/Vice President">Executive Office of the President/Vice President</option>
        <option class="agency-department-federal-government" value="Federal Bureau of Investigation">Federal Bureau of Investigation</option>
        <option class="agency-department-federal-government" value="Federal Communications Commission">Federal Communications Commission</option>
        <option class="agency-department-federal-government" value="Federal Trade Commission">Federal Trade Commission</option>
        <option class="agency-department-federal-government" value="GSA">GSA</option>
        <option class="agency-department-federal-government" value="Judiciary Branch">Judiciary Branch</option>
        <option class="agency-department-federal-government" value="Legislative Branch">Legislative Branch</option>
        <option class="agency-department-federal-government" value="NASA">NASA</option>
        <option class="agency-department-federal-government" value="National Institute of Health">National Institute of Health</option>
        <option class="agency-department-federal-government" value="OMB">OMB</option>
        <option class="agency-department-federal-government" value="OPM">OPM</option>
        <option class="agency-department-federal-government" value="SSA">SSA</option>
        <option class="agency-department-federal-government" value="USPS">USPS</option>
        <option class="agency-department-federal-government" value="Other Agency">Other Agency</option>
        <option class="agency-department-state-and-local" value="Government Association">Government Association</option>
        <option class="agency-department-state-and-local" value="County">County</option>
        <option class="agency-department-state-and-local" value="Municipal">Municipal</option>
        <option class="agency-department-state-and-local" value="Special District">Special District</option>
        <option class="agency-department-state-and-local" value="State">State</option>
      </select>
    </div>
    <div class="conversion-module-signup-form-organization_function form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-thank-you-organization_function"> Organization Function </label>
      <select class="form-control form-control-xl" id="conversion-module-thank-you-organization_function" name="organization_function" placeholder="">
        <option value="" selected="selected">--select--</option>
        <option value="Elected Official/Legislative/Executive Office">Elected Official/Legislative/Executive Office</option>
        <option value="Environment/Energy">Environment/Energy</option>
        <option value="Finance/Budget">Finance/Budget</option>
        <option value="Health &amp; Human Services">Health &amp; Human Services</option>
        <option value="Public Safety/Emergency Services/Law Enforcement">Public Safety/Emergency Services/Law Enforcement</option>
        <option value="Technology">Technology</option>
        <option value="Transportation/Utilities/Infrastructure">Transportation/Utilities/Infrastructure</option>
        <option value="Other">Other</option>
      </select>
    </div>
    <div class="conversion-module-signup-form-organization_name form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-thank-you-organization_name"> Organization Name </label>
      <input autocomplete="organization" class="form-control form-control-xl" id="conversion-module-thank-you-organization_name" name="organization_name" placeholder="" type="text">
    </div>
    <div class="conversion-module-signup-form-job_function form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-thank-you-job_function"> Job Function </label>
      <select class="form-control form-control-xl" id="conversion-module-thank-you-job_function" name="job_function" placeholder="">
        <option value="" selected="selected">--select--</option>
        <option value="Agency Leadership">Agency Leadership</option>
        <option value="Business &amp; Operations">Business &amp; Operations</option>
        <option value="Communications &amp; Marketing">Communications &amp; Marketing</option>
        <option value="Financial/Contract Management">Financial/Contract Management</option>
        <option value="Human Resource Management">Human Resource Management</option>
        <option value="Technology Management">Technology Management</option>
      </select>
    </div>
    <div class="conversion-module-signup-form-phone form-group">
      <label class="conversion-module-signup-form-label control-label" for="conversion-module-thank-you-phone"> Phone number </label>
      <input autocomplete="tel" class="form-control form-control-xl" id="conversion-module-thank-you-phone" name="phone" placeholder="" type="text">
    </div>
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Pay & Benefits


MIXED REACTIONS TO MEDICARE PART D IN THE FEHB


IT'S BEEN ALMOST FIVE MONTHS SINCE PART D WAS INCORPORATED INTO MANY FEDERAL
EMPLOYEES HEALTH BENEFIT PLANS. HOW IS IT BEING RECEIVED?

Tammy Flanagan

|
May 16, 2024
 * Retirement Planning
 * Benefits
 * Retirement Benefits

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Tammy Flanagan
Retirement Counseling and Training www.retirefederal.com
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Medicare Prescription Drug Program or Part D was enacted as part of the Medicare
Modernization Act of 2003 and went into effect on Jan. 1, 2006. Since that time,
all Federal Employees Health Benefit plan brochures have included the following
information in the front cover: 

The Office of Personnel Management (OPM) has determined that the “Name of FEHB”
Plan’s prescription drug coverage is, on average, expected to pay out as much as
the standard Medicare prescription drug coverage will pay for all plan
participants and is considered Creditable Coverage. This means you do not need
to enroll in Medicare Part D and pay extra for prescription drug coverage. If
you decide to enroll in Medicare Part D later, you will not have to pay a
penalty for late enrollment as long as you keep your FEHB coverage. 

However, if you choose to enroll in Medicare Part D, you can keep your FEHB
coverage and your FEHB plan will coordinate benefits with Medicare. 

This language means that federal retirees who are 65 or older have generally
enrolled in Medicare Part A (hospital insurance) and Part B (outpatient
coverage) but not Part D (Medicare Prescription Drug coverage). 

Historically, Medicare Parts A & B, otherwise known as “original Medicare,” is
combined with a federal health plan that waives cost-sharing (i.e. deductible,
copays and coinsurance) for inpatient and outpatient care, leaving the retiree
and their spouse with little out-of-pocket medical expenses other than
prescription copays along with dental and vision expenses. Some plans also
provide a further incentive to enroll in Medicare A & B by offering a partial
rebate for the Part B premium.   

That was, until last year’s FEHB Open Season, when many federal retirees were
automatically enrolled in a Part D plan, overriding their plan’s prescription
drug benefit.  

This was a result of the annual “Carrier Letter" that OPM sends to the FEHB
plans each year to prepare for the open season. FEHB carriers include 68
participating health insurance carriers offering 158 plan choices in 2024. OPM
announced in Carrier Letter 2023-02 that it will entertain proposals that allow
FEHB Program members to benefit from Medicare Part D coverage by enrolling in
CMS-approved Medicare Advantage Prescription Drug Plan Employer Group Waiver
Plans (MA-PD EGWPs) or Prescription Drug Plan Employer Group Waiver Plan (PDP
EGWPs) for other FEHB plans. OPM stated that coordination may make healthcare
more affordable for FEHB enrollees by incorporating the manufacturer discounts
required under Medicare Part D.  

Under the new Postal Service Health Benefit program, all PSHB Carriers will be
required to provide prescription drug coverage for Medicare-eligible Postal
Service annuitants and their Medicare-eligible family members through a Medicare
Part D plan. The new PSHB Program goes into effect in 2025. The Inflation
Reduction Act redesigned the Medicare Part D benefit in the following ways:  

 * Starting in 2023, the IRA sets a $35 cap on the cost of insulin products and
   waives cost-sharing for Part D adult vaccines that are recommended by the
   Advisory Committee on Immunization Practices.  
 * Beginning in 2024, the IRA eliminates the 5% coinsurance for Part D
   catastrophic coverage and expands income eligibility for the low-income
   subsidy to 150% of the Federal poverty level (FPL).  
 * Starting in 2025, there will be a $2,000 cap on a Part D enrollee’s
   out-of-pocket spending and a Part D enrollee may spread their out-of-pocket
   costs over the year.  
 * From 2024 through 2030, average basic Part D premium growth is capped at 6%
   per year. 

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In Carrier Letter 2023-04, OPM stated they would entertain proposals featuring
automatic group enrollment for PDP EGWPs. OPM noted that plans making such a
proposal should provide a seamless, customer-friendly approach to allowing the
affected members to opt out of the enhanced Medicare product if they choose. 

For Plan Year 2025, OPM will continue to accept proposals from FEHB Carriers
that feature automatic group enrollment for PDP EGWPs. Eligible FEHB members who
are auto enrolled may opt out, as FEHB members are not required to enroll in
Medicare Part D. OPM stated that FEHB Program members for whom Medicare is
primary must receive drug coverage equal to or greater than the drug coverage
they would have received without MA-PD EGWP or PDP EGWP. 

FEHB annuitants enrolled in an EGWP must have formulary access to all drugs
covered under the corresponding FEHB formulary at the same or lower cost-share
than they would have otherwise been responsible for if they enrolled solely in
the FEHB plan. 

This sounds reasonable, and it seems like a good idea for OPM to encourage FEHB
carriers to begin offering Part D coverage to provide better prescription drug
coverage at a lower cost for federal retirees eligible for Medicare. 

However, many (maybe most?) of those retirees who were auto-enrolled did not see
this as an opportunity to have better prescription coverage and they didn’t see
how they would save money on prescriptions. This was evidenced by the many
emails the National Active and Retired Federal Employees Association received
once the retirees were informed of their new drug plan. Here are a few of the
comments: 

 * How does one opt out? I don't trust this plan.   
 * It really bothers me that my FEHB plan is trying to coerce everyone who is on
   Medicare into this program when it is probably costing most people more for
   the drugs that they actually use.    
 * Due to the Income Related Monthly Adjustment Amounts (IRMAA), I also did the
   math and would be spending more than I'm saving under the new Medicare Part D
   with Blue Cross. Therefore, I want to opt out.   

Now that it has been almost five months since Part D has been incorporated in
many FEHB plans, how is it being received by those who did not elect to opt out?
I guess like most things, when things are doing good, we stay quiet and if
things are going bad, we make more noise. I am having difficulty finding
positive comments, so I will add one of my own: 

My husband and I were auto-enrolled in a Medicare Rx plan as were many federal
retirees and their spouses who are over age 65. The benefit we have noticed so
far is that the generic medications we have filled this year have a $0 copay
compared to the $6 that we paid in 2023.  Another difference is that our health
plan (Aetna Direct N61, N62, N63) has an $1,800 health fund ($900 / person),
which we can now use to reimburse some of our Part B premium.  Last year, our
drug copays were deducted from this fund, however when enrolled in a Medicare
drug plan, this is no longer how it works. Under the Medicare Part D coverage,
any drug copays would be paid out of pocket and not deducted from this fund.
Since we are paying an IRMAA (Income Related Monthly Adjustment Amount)
surcharge to be enrolled in this Medicare Part D plan, we may decide to opt out
since we aren’t currently saving as much as we are paying for the plan since we
fortunately don’t fill many prescriptions. If that changes, I can see where this
plan could provide substantial savings. It should be noted that there is no
premium for the Part D coverage provided through FEHB plans unless you are
impacted by IRMAA and your modified adjusted gross income is above $103,000 for
single filers and $206,000 for those filing a joint tax return. 

If you decide to opt out of PDP coverage because of IRMAA or any other reason,
you can enroll into a PDP in the future, without penalty, as FEHB prescription
drug is considered creditable coverage by OPM. Contact your FEHB plan or visit
the plan website for information on opting out of the Medicare Part D
Prescription Drug Plan. If you are enrolled in a Medicare Advantage option
through your FEHB carrier, Part D is generally included and to opt out of Part D
would require that you opt out of the Medicare Advantage option.   

Note: A Medicare Advantage Plan (like an HMO or PPO) is another Medicare health
plan choice you may have as part of Medicare. Medicare Advantage Plans,
sometimes called “Part C” or “MA Plans,” are offered by private companies
approved by Medicare. If you join a Medicare Advantage Plan, it will provide all
your Part A (Hospital Insurance) and Part B (Medical Insurance) coverage.
Medicare Advantage Plans may offer extra coverage, including vision, hearing,
dental, and/or health and wellness programs. Most include Medicare prescription
drug coverage (Part D). Many FEHB plans now offer a Medicare Part C / Medicare
Advantage plan option. 

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