Fedweek

FEHB and FEDVIP insurance elections made in the autumn open season, and 2021 plan year premiums and coverage changes, take effect at the start of January for retirees and at the start of the first full pay period of the year (January 3, in most cases) for active employees.

The enrollee share of FEHB premiums increased by 4.9 percent, although there was variation among plans with some increases well above that figure but with some rates essentially flat or down slightly. Premiums in pre-existing FEDVIP plans also were basically flat, while three new plans joined that program.

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Under Medicare, the Part B (physicians and related services) premium will be $148.50 a month for most enrollees; those with annual taxable incomes above a threshold ($88,000 for single filers and $176,000 for joint filers in 2021) also pay surcharges. The Part B annual deductible will be $203.

In Part A, which covers hospitalization and related costs, the deductible will be $1,484 and coinsurance for periods longer than 60 days per benefit period will be $371 for days 6-90 and $742 for days 91 and beyond.

The average monthly premium for Part D prescription drug coverage (which only some federal retirees choose because it largely duplicates what is covered under FEHB plans) is remaining about the same, around $31 a month.

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