If you meet the retirement or separation from service requirements and have maintained your FEHB for five years, you will be eligible to maintain FEHB coverage into retirement. This is a valuable part of your retirement package, as it provides the same coverage you’re accustomed to and eliminates the need to search for adequate health insurance on the open market. Below are answers to frequently asked questions that may help you navigate FEHB and retirement decisions.
Can I change my FEHB enrollment at retirement?
No. Retirement is not a qualifying life event (QLE), so you cannot change your health insurance plan at that time. However, you can still make changes during Federal Open Season, just as you could as an active employee.
Will my FEHB premiums increase when I retire?
No. Your premium amount will remain the same, and the agency will continue contributing 72% toward the total premium, just as they did while you were working. However, your premiums will be deducted from your annuity check on a monthly basis rather than biweekly.
What if my annuity is not large enough to cover my premium?
If your annuity cannot cover your premium, you can either select a plan with a lower premium that fits within your annuity amount or pay your premiums directly to your retirement system.
Can my spouse keep my FEHB coverage if I pass away before them?
It depends. If you select a survivor annuity in your retirement options, your spouse can maintain FEHB coverage even if you predecease them. Without a survivor annuity, your spouse will not be able to retain FEHB coverage. If you have questions about survivor annuities, contact United Benefits, and a Retirement Specialist can assist you.
I did not have FEHB coverage through my job but was covered under my spouse, who is also a federal employee. Does this count toward the five-year requirement?
Yes. Coverage under another federal employee qualifies, provided you were covered under your spouse’s FEHB plan for at least five years.
I did not have FEHB coverage through my job but was covered under TRICARE. Does this count toward the five-year requirement?
Yes, TRICARE does count toward the five-year requirement. If you’re unsure about keeping FEHB as an option during retirement, you can elect to retain it during the retirement process. If you maintain your TRICARE eligibility, you can suspend FEHB at any time during retirement.
I am over 65 and eligible for Medicare. How does this coordinate with FEHB?
There are several ways to coordinate FEHB with Medicare. We recommend reading our detailed blog on this topic for more information or reaching out to a United Benefits Medicare specialist.
I am not eligible to keep my FEHB. How can I find health insurance?
We can help! Our health insurance specialists can assist you in finding the right plan for your budget and needs. This may include Affordable Care Act plans through the Marketplace or alternative options. Rest assured—we’ll make the process easy for you!