Health Benefits in Retirement: Navigating the Maze of FEHB, FLTCIP, and Medicare

Retirement marks a significant transition in life, not only in terms of lifestyle but also in terms of healthcare needs and benefits. As you prepare for this new chapter, understanding the complexities of healthcare coverage can be daunting.

Health Benefits In Retirement: FEHB, FLTCIP, and Medicare

by Brandon Christy

5 out of 5

Language	:	English
File size	:	6026 KB
Text-to-Speech	:	Enabled
Screen Reader	:	Supported
Enhanced typesetting	:	Enabled
Word Wise	:	Enabled
Print length	:	21 pages

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Fortunately, there are several programs available to federal retirees: the Federal Employees Health Benefits (FEHB) program, the Federal Long Term Care Insurance Program (FLTCIP),and Medicare. This article will delve into each program, explaining how they work and how they complement each other to provide comprehensive healthcare coverage in retirement.

Federal Employees Health Benefits (FEHB)

FEHB is a health insurance program sponsored by the federal government for current and retired federal employees, their families, and survivors. It offers a wide range of health plans to choose from, including:

• Health Maintenance Organizations (HMOs)
• Preferred Provider Organizations (PPOs)
• Point-of-Service (POS) plans
• High-Deductible Health Plans (HDHPs)

Each plan type has its own unique set of benefits, premiums, deductibles, coinsurance, and out-of-pocket costs. Retirees can enroll in FEHB during the Federal Benefits Open Season (FBOS),which typically occurs in November and December.

FEHB coverage continues into retirement without interruption. Retirees pay the same portion of the premium as active employees, with the government contributing the rest. After retirement, FEHB premiums are deducted from the retiree's annuity.

Federal Long Term Care Insurance Program (FLTCIP)

FLTCIP is a voluntary long-term care insurance program available to current and retired federal employees. Long-term care refers to non-medical services and support needed due to chronic illness, disability, or cognitive impairment.

FLTCIP provides coverage for a range of long-term care services, including:

• Home healthcare
• Assisted living
• Skilled nursing
• Memory care

FLTCIP benefits can help cover the cost of long-term care services, providing financial security and peace of mind in retirement.

Enrollment in FLTCIP is open to federal employees and retirees under the age of 85. Premiums vary based on the level of coverage selected and the age of the enrollee.

Medicare

Medicare is a federal health insurance program for individuals aged 65 and older, younger people with certain disabilities, and people with End-Stage Renal Disease (ESRD).

Medicare has four parts:

1. Part A (Hospital Insurance): Covers inpatient hospital stays, skilled nursing facility stays, hospice care, and some home healthcare.
2. Part B (Medical Insurance): Covers doctor visits, outpatient care, durable medical equipment, and preventive services.
3. Part C (Medicare Advantage): A managed care option that combines Part A and Part B coverage into one plan, often with additional benefits.
4. Part D (Prescription Drug Coverage): Helps cover the cost of prescription drugs.

Retirees who are eligible for Medicare will automatically be enrolled in Part A at no cost. Part B has a monthly premium that retirees must pay. Part C and Part D are voluntary, and retirees can choose to enroll in these plans if they want additional coverage.

How FEHB, FLTCIP, and Medicare Work Together

FEHB, FLTCIP, and Medicare play complementary roles in providing healthcare coverage in retirement. FEHB provides comprehensive medical and dental insurance, FLTCIP offers long-term care coverage, and Medicare provides coverage for medical expenses and prescription drugs.

Here's a breakdown of how these programs work together:

• FEHB: Covers inpatient and outpatient medical expenses, preventive care, and prescription drugs. Retiree pays a portion of the premium, government contributes the rest.
• FLTCIP: Provides coverage for long-term care services, such as home healthcare, assisted living, and skilled nursing. Enrollee pays the premium.
• Medicare: Covers hospital and medical expenses, prescription drugs. Medicare Part A is free, Part B has a monthly premium. Retirees may choose to enroll in Medicare Advantage or Part D for additional coverage.

For many retirees, FEHB will be their primary healthcare coverage, with Medicare Part B providing additional coverage. If long-term care becomes necessary, FLTCIP can help cover the costs. Medicare Part C (Medicare Advantage) combines the benefits of Part A and Part B, and may offer additional benefits such as dental and vision coverage.

Navigating the healthcare system in retirement can be complex, but understanding the different programs available to federal retirees can help you make informed decisions about your coverage. FEHB, FLTCIP, and Medicare work together to provide comprehensive and affordable healthcare coverage, ensuring that federal retirees have peace of mind during this important chapter in their lives.

Remember to research each program thoroughly, compare plans and costs, and consult with reputable sources to make the best healthcare decisions for your individual needs.

Health Benefits In Retirement: FEHB, FLTCIP, and Medicare

by Brandon Christy

5 out of 5

Language	:	English
File size	:	6026 KB
Text-to-Speech	:	Enabled
Screen Reader	:	Supported
Enhanced typesetting	:	Enabled
Word Wise	:	Enabled
Print length	:	21 pages

FREE