By Eric Yoder – August 6, 2015
On the heels of an immediate premium hike in the long-term care insurance program for federal employees, some rates are going to increase in 2016 in their much more widely used life insurance program — although others will hold steady and still others will decrease — the is about to announce.
OPM plans to publish a notice Friday of new rates to be effective in January in the Federal Employees Group Life Insurance program, affecting retirees under the basic form of coverage, as well as both active employees and retirees with add-on forms of coverage.
For the retiree basic coverage, premiums will rise upwards of 10 percent. The picture is mixed for the additional forms of insurance, though, generally with decreases at younger ages but increases at older ages.
The personnel agency will hold an open enrollment season in September 2016 to allow changes in coverage, although those choices won’t take effect until October 2017.
OPM said the effective date of the next year’s open season elections will be delayed by a year to mitigate the risk that “less healthy individuals” will use the opportunity to increase their coverage.