OPM Dropping FEHB ‘Underserved’ Designation

OPM is dropping a long-standing policy of designating certain states as “medically underserved” in the FEHB program effective with the 2015 plan year because that distinction is no longer necessary, under rules published in today’s (Wednesday’s) Federal Register. States on that list have been deemed to have critical shortages of primary care physicians. The designation requires FEHB fee-for-service plans to provide benefits to participants who use any health care provider licensed to perform the medical service at issue. The current list is Alabama, Arizona, Idaho, Illinois, Louisiana, Mississippi, Missouri, New Mexico, North Dakota, Oklahoma, South Dakota, and Wyoming. OPM said that recent Labor Department guidance makes that designation no longer necessary because it serves the same purpose: expanding the geographic area of coverage for all licensed providers offering covered services within the scope of their license to all areas of all states. The change was published as a direct final rule, although comments are being accepted.