The 2024 Federal Benefits Open Season for FEHB and FEDVIP will take place from November 13th through December 11th. This open season allows Federal employees and eligible individuals to review their plans, make changes, and enroll in one of 158 FEHB plan choices for 2024. However, there is a reduction in plan choices primarily due to the exit of one carrier, Humana, from the FEHB Program.
FEHB Premiums are Increasing
Every year, the Office of Personnel Management (OPM) reviews and adjusts the premium rates for FEHB and FEDVIP plans based on various factors, including the cost of healthcare services, inflation, and other economic considerations.
The overall average increase in rates for the FEHB Program for 2024 is 5.8%. The average Government contribution will increase by 5.0%, while the enrollee share will increase by an average of 7.7%.
The share of FEHB premiums paid by federal employees and retirees increased by an average of 8.7% in 2023 and 3.8% in 2022.
FEDVIP Premiums are Increasing
FEDVIP dental and vision plans will see an average premium increase of 1.4% and 1.1%, respectively, compared to the previous year. There will be some improvements in plan offerings, such as coverage for nitrous oxide and increased frame allowances.
Other Plan Changes
Prescription Drug Plans
In 2024, there will be an opportunity for eligible enrollees to receive additional savings and enhanced benefits through a Prescription Drug Plan (PDP) Employer Group Waiver Plan (EGWP) offered by 10 FEHB plans. Additionally, 28 FEHB plans will offer a Medicare Advantage Prescription Drug Plan (MA-PD) EGWP in 2024, with the goal of reducing total FEHB costs.
FSAFEDS
The Dependent Care Flexible Spending Accounts (DCFSAs) will be expanded to include eligible military personnel (active-duty service members and members of the Active Guard Reserve on Title 10 orders) starting from January 1, 2024.
Benefits Enhancements
There will be enhancements in various areas, including fertility benefits, coordination of FEHB with Medicare, maternal health, prevention and treatment of obesity, mental health and substance use disorder coverage, and more.
What About the 2024 COLA and 2024 Federal Pay Raise?
The 2024 COLA is estimated to be around 2.75% and the Federal Pay Raise at 5.2%.
If you haven’t checked out our articles on the 2024 COLA or the Federal pay raise, you can find them here:
Estimated 2024 COLA to be Under 3%
Reach Out to Us!
If you have additional federal benefit questions, contact our team of CERTIFIED FINANCIAL PLANNER™ (CFP®) and Chartered Federal Employee Benefits Consultants (ChFEBC℠). At PlanWell, we focus on retirement planning for federal employees. Learn more about our process designed for the career federal employee.
Preparing for federal retirement? Check out our scheduled federal retirement workshops. Sign up for our no-cost federal retirement webinars here! Make sure to plan ahead and reserve your seat for our FERS webinar, held every three weeks. Want to have PlanWell host a federal retirement seminar for your agency? Reach out, and we’ll collaborate with HR to arrange an on-site FERS seminar.
Want to fast-track your federal retirement plan? Skip the FERS webinar and start a one-on-one conversation with a ChFEBC today. You can schedule a one-on-one meeting here.
