U.S. Office of Personnel Management

The Federal Employees Health Benefits Program and Medicare

The Federal Employees Health Benefits Program and Medicare - Working Together for You!

As an active or retired Federal employee covered by both the Federal Employees Health Benefits (FEHB) Program and Medicare, you probably have had questions from time to time about how the two programs work together to provide you with your health benefits coverage. These pages contains answers to the questions that we at the Office of Personnel Management are most frequently asked about FEHB and Medicare.

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What Are the New Provisions of Medicare?

The Balanced Budget Act of 1997 (P.L.105-33) expanded Medicare's health plan options with the creation of Medicare+Choice. Beginning in 1999, Medicare beneficiaries may remain in Original Medicare or choose to get their Medicare benefits from an array of Medicare+Choice managed care plan options. Depending on where you live, your options may include Medicare managed care plans such as Medicare Health Maintenance Organizations (HMOs) or Preferred Provider Organizations (PPOs). Future Medicare+Choice options can include private fee-for-service plans (PFFS) and Medical Savings Accounts (MSAs).

Medicare beneficiaries received information about these new choices this fall in Medicare & You 2000, a reference handbook. Medicare's web site (www.medicare.gov) also has information on Medicare+Choice. You should contact your retirement system before making any change to your coverage, especially if you are considering suspending your FEHB coverage to enroll in a Medicare managed care plan. If you are a CSRS or FERS annuitant, you may call OPM's Retirement Information Office at 1-88USOPMRET (1-888-767-6738) or (202) 606-0500 from the metropolitan Washington area, or you may write to:

Office of Personnel Management
Retirement Operations Center
P.O. Box 45
Boyers, PA 16017-0045

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