Federal employee health care premiums rose an average of 8.7 percent.

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Premiums in the health care program for federal employees and retirees will increase by an average of 8.7 percent for 2023 – the largest increase in more than a decade, the government announced Friday.

That change in the federal employee health benefits program Premium It is significantly higher than 3.8 percent Average increase For 2022, though, the 5-7 percent is closer to the range of other recent years.

The price increase is a reflection of price increases for some drugs and higher utilization of professional services and outpatient care. he said. Office of Personnel Management. “This is consistent with the larger market and reflects the impact of the Covid-19 pandemic,” OPM said.

The program is open to all federal employees and retirees who have had continuous coverage for five years prior to retirement. With more than 4 million enrollees and an equal number of covered spouses and children under the age of 26, it is the nation’s largest employer-sponsored health insurance program.

Tony Reardon, president of the National Union of Treasury Employees, said: “These premium increases may be similar to those expected by other large employers in the private sector, but they will still be a sticker shock for federal workers.”

The FEHBP will have 271 participating plans in 2023, the same as now, most of which are available only regionally.

In the year By 2023, there will be broad benefits for maternal care, medical nutrition, anti-obesity drugs, assisted reproductive technology and gender-affirming care and services, OPM said. The program will continue changes related to the pandemic, including expanded telehealth services and vaccination, testing and theater coverage.

About two-thirds of federal health care enrollees are in one of three national plans offered by Blue Cross Blue Shield. The largest of these is the “basic” plan, which increases employee costs by $6.49 per week to $86.67 for self-only coverage; by $21.77 to $217.90 for the Self Plus-One; and $25.62 to $237.91 for family coverage. Pensioners pay the same amount monthly instead of weekly.

During the open enrollment period, November 14 through December 12, enrollees can change plans. Also, currently unenrolled employees can join the programs, but retirees can’t enroll anew.

Organizations representing federal employees and retirees opposed the increase and urged enrollees to use the opportunity to compare their coverage in 2023.

“This will be the largest increase in FEHB premiums since 2011, and enrollees will have to deal with high inflation across the board,” Ken Thomas, president of the National Association of Active and Retired Federal Employees, said in a statement.

Everett Kelly, president of the American Federation of Public Employees, added: “If the government continues to oppress federal workers with low pay on the one hand and out-of-control health care costs on the other, we will continue to look at it broadly.” Staffing crises and server woes as the government struggles to recruit and retain talented workers who could find better jobs in the private sector.

They are federal employees. in line It averaged a 4.6 percent increase in January, with regional differences. Federal retirees will be subject to a cost-of-living adjustment, but it will likely reflect general inflationary trends in FEHBP premium increases.

OPM said premiums in a separate program, the Federal Employees Dental and Vision Insurance Program, will change slightly when enrollees pay the full cost.

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