Senator Tom Carper’s new bill to ‘Save the U.S. Postal Service’ will mean health benefit cuts and premium increases for many postal workers and retirees. It would create a unique Postal Service Health Benefits Program that all postal employees and annuitants must participate in (except PCES). If it is like the existing USPS Health Benefits Plan for non-career postal employees, it will meet just the minimum requirements of the Affordable Care Act. Nothing more. The current cost for Self and Family is $244 per pay period.
Future Medicare-eligible postal annuitants (except PCES) would be required to receive their primary coverage from Medicare parts A, B and D. This will mean another increase in future health insurance premiums when you add the cost of Medicare premiums. In January 2016 alone, Medicare Part B premiums are scheduled to rise 52% to $159.30 per month.
Medicare premiums are likely to continue to rise sharply for CSRS retirees and future FERS retirees. To understand why, see Medicare Part B Premiums Are Scheduled to Rise 52% in January. The Postal Service estimates it will save $33.2 billion in the first five years of implementation. This is money taken out of the pockets of employees and retirees. It will push the Medicare fund closer to bankruptcy. Urgent Action Needed to Shore Up Medicare Program