Changes in FEHB Plans Also Coming

While much of the attention to the recently announced changes in Federal Employees Health Benefits program offerings in the 2003 plan year has focused on a new type of program introduced by the American Postal Workers Union, there are numerous other plan changes on tap. Eleven health maintenance organizations are dropping out and another four are eliminating service areas, meaning that more than 27,000 enrollees will have to select a new plan during the open season that starts November 11. Office of Personnel Management officials said the decisions were made for much the same reasons having to do with business considerations based on enrollment, market share and profitability. They also noted that the loss is well below the dropouts of recent past years-in the four previous years, a total of 168 plans dropped out and 37 withdrew from coverage areas, affecting more than 300,000 enrollees. Meanwhile, OPM announced that effective October 4 (this Friday), Amcare Health Plan, enrollment codes ZH and ZQ, will no longer participate due to action by the State of Louisiana and that enrollees in those plans must change coverage.