With Medicare Advantage plans becoming additional options in the FEHB program, it’s important to understand the basic facts before you make changes to your coverage in retirement.
Prior to Medicare Advantage plans becoming available through FEHB, when you turned 65 and became eligible for traditional Medicare, there were a number of questions you had to consider. Do you keep your FEHB plan? Do you switch to traditional Medicare? Or, do you opt for keeping both? Now you have another question to consider: should I go with a Medicare Advantage plan instead?
“Also known as Medicare Part C, the Medicare Advantage plans offered through FEHB are designed exclusively for federal employees and approved by the government.”
Overview: FEHB Medicare Advantage Plans (Part C)
When you chose traditional Medicare in retirement, the government becomes your primary health care insurance and your FEHB plan becomes your secondary insurance. With a Medicare Advantage plan your healthcare insurance is provided through private insurers like Aetna, Kaiser, United Healthcare and other names you trust.
Also known as Medicare Part C, the Medicare Advantage plans offered through FEHB are designed exclusively for federal employees and approved by the government. Medicare pays these private insurance companies to cover your Medicare Part A and Part B benefits. Add to this, all of the plans provide catastrophic expense protection which traditional Medicare does not offer. Some plans are only offered in certain geographic areas while others are available nationwide.
How It Works
To enroll in one of Medicare Advantage Plans offered through the FEHB program, you must be enrolled in Medicare Part A and B plus a FEHB Plan that offers a Medicare Advantage option. Many of these plans reimburse your Medicare Part B monthly premium by a predetermined amount and the money is added back into your Social Security check.
Though you may get additional benefits through a FEHB Medicare Advantage plan, the trade-off is that most of these plans use preferred provider networks. If you don’t use one of their providers, they won’t cover all of your medical expenses. Some FEHB Medicare Advantage Plans also include prescription drug coverage plus dental and vision care. Carefully review the information available through FEHB to make certain a Medicare Advantage Plan is right for you and your spouse.
Beware: FEHB Medicare Advantage Plans Are Not Advertised On TV
The Medicare Advantage plans offered through FEHB are not advertised on TV or through the mail. If you decide to enroll in a private sector Medicare Advantage plan outside of the FEHB program, you may lose your ability to re-enroll in FEHB if you mistakenly cancel your FEHB plan instead of suspending it.
