Federal employees should brace for higher health insurance costs next year. Federal Employees Health Benefits (FEHB) premiums are projected to rise 10.9%, according to FEDmanager, which also reported the dates for the upcoming Open Season enrollment period.
Key Facts
- Projected increase: FEHB premiums are expected to climb 10.9%, per FEDmanager.
- Who is affected: Federal civilian employees and retirees enrolled in FEHB plans, along with covered family members.
- Open Season: The annual window when enrollees can review plans, compare costs, and change or start coverage.
- Timing: Open Season traditionally runs from the second Monday in November through the second Monday in December. Confirm exact dates with your agency or the Office of Personnel Management (OPM).
- Plan-level variation: Actual premiums depend on the plan, option, and enrollment type (Self Only, Self Plus One, or Self and Family).
- No action, no change: Enrollees who take no action during Open Season generally stay in their current plan and pay the new rates.
Background
FEHB is the largest employer-sponsored health program in the country. Premiums are shared between the government and the enrollee. By law, the government contribution is based on a weighted average of premiums across the program, and it is capped at 75% of any individual plan's total premium.
Because enrollee shares are calculated from plan-specific rates, a program-wide increase does not translate into the same dollar change for every household. Some plans may rise more than 10.9% and others less.
Open Season is the main opportunity to adjust coverage without a qualifying life event. During the period, enrollees can:
- Switch to a different plan or option
- Move between Self Only, Self Plus One, and Self and Family
- Enroll if not currently covered
- Review changes to benefits, networks, and prescription coverage
What It Means For You
A 10.9% increase could noticeably raise your biweekly premium deduction, and it comes alongside any pay adjustments you may see in the new year. Compare your net take-home pay against projected premium changes before deciding whether to stay put.
Before Open Season begins:
- Pull your current plan brochure and check the new rates once they are published.
- Review your family's expected medical and prescription needs for the coming year.
- Compare deductibles, copays, and out-of-pocket maximums, not just premiums.
- Check whether your preferred providers remain in-network.
For a closer look at what your coverage is worth in dollars, see the FEHB value guide.
Final plan-by-plan rates are typically released by OPM ahead of Open Season. Enrollees should rely on those official figures when making decisions.
Source: FEDmanager