Return to Article: Hidden cost hikes aren't new to federal benefits programs
-
91221
Lets see we get a pay raise every year like clock work and promotions as well, so the question has to asked why aren't healthcare companies allowed the same opportunity?? This is just a negative reflection on us greedy CS
-
91185
I'm in the same boat as K. Hofnarr.
It's now Nov. 4 and neither I or my wife have yet to receive ANYTHING in the mail on the long term care rate hikes--oh sorry, "adjustments"-- and what our options (if any) are.
This has been a complete failure of communication from the beginning, and continues to be so.
I talked to my Congressman's Staff last week, but no "Grandfather" clause is in the offing - "since the "contract" has already been signed and is not able to be changed by legislation after the fact".
I suggested that at a minimum, the Congressman sponsor legislation NOW that would impose a grandfather provision for all RETIRED employees into the NEXT contract renewal thats scheduled seven years from now. OPM cannot be trusted to protect us.
OPM really did a number on us last spring. On the other hand, I recall that there were rumors in the business press that John Hancock was in dire straights, and might need TARP funds - but couldn't qualify as an insurance company, and didn't want to become a "BANK". Is this one of the ways the "powers that be" helped them survive? One thing we can be sure of - we "little people" (Leona Helmsley's famous phrase) will never find out, and are still left holding the bag.
-
91166
All I can say fellow employees is: 'Welcome to health care in the United States.' Why is it that every other industrialized country can provide all it's citizens with health care except us? We have two adult children living abroad and when they get sick they go to a doctor of their choice. No insurance forms, no one in the office shuffling tons of paper work, no bill when they leave, and no insurance company denying coverage because of exclusions or pre-existing conditions nonsense. Sure they pay more taxes than we do, but no one complains. You also don't see citizens going bankrupt because of illness or premature deaths because they can't afford medical treatment. We (and Uncle Sam) currently pay over 13k/yr for our medical coverage. Why don't we stop calling that a premium and call it a tax which, in effect, is what it is. Medical care in this country is almost twice as expensive as the next closest EU country. So we have low taxes (compared to any other country) and gigantic medical costs) are we any better off?
-
91028
I retired a few years ago and had made the early decision to not take out the group Long Term Care insurance... expecting that there would be cost surprises as the years went by and/or benefit surprises if/when I needed the coverage down the road. Man, am I glad I didn't trust what I'd read about the locked-in premiums for the plan for us feds! Usually, group rates provide safety in numbers, but in cases like this, it's clear that individualism is the way to go. Seeking out an individual policy limits the amount of money an insurance company can squeeze out of you... more money for the insurance company if they target the group policy where they can get greater return on their premium and benefit adjustments.
-
91017
Has there been any thought given to filing a class action suit against OPM, or whomever is really responsible for essentially misleading the government employees who chose the inflation option? I'm sure it must have been included somewhere in the original information, as OPM now indicates, but the fact that so many of us are/were surprised that our rates are now being increased means that it was not very prominently displayed. And we should contend that such an important provision should have been much more obvious to potential customers.
Collectively, we may not be rocket scientists, but we aren't dumb as dirt either. OPM needs to either include a grandfather clause in which all of those who originally chose the inflation option are not forced to pay up to 25% more for premiums, or we should sue the pants off of them for falsely advertising a service.
Where do the unions stand on this issue? Other than being angry and trying to insure the same thing doesn't happen again. Well, that's fine to all those who want to take the inflation option NOW, but it doesn't do a bit of good to those of us who took the inflation option 7 years ago. It seems the unions are doing the same thing as Congress: huffing and puffing and doing absolutely nothing constructive to help those of us who have already been affected. Take some action to help your membership, union leaders!
Or are we all going to end up as part of the punchline of the Tom Waits song, where he says, "The large print giveth, and the small print taketh away." Step right up.
-
91001
Response to Bryan W, and to those who feel swindled by the rate increases: I and several colleagues at work studied the LT Care documents carefully in 2002 before signing up for the inflation-adjusted plan, with the idea that paying higher premiums while working would avoid cost increases after retirement. We didn't notice any suspicious wording at the time, and even received information that there would be no future cost increases. This swindle (who believes error?) by OPM and J.Hancock are unconscionable. This is another reason why Federal employees need a strong organization to represent them -- not sure if NARFE is up to it. The labor unions don't seem to do much about this type of deception either. As one writer hinted, the Fed government is captive largely to the Big Money interests -- Banks, Insurance Companies, Pharmaceutical companies, Big Oil, etc. (Why are there no investigations of the banksters, and the Federal Reserve keeps giving out more $Billion$ in bailout money?) There are undoubtedly political pressures at the highest levels and in Congress to allow insurance companies to get fat profits from Federal employees. What's needed is a independent organization whose principal goal is the health and well-being of Federal employees, and which can provide reasonably priced insurance plans without all the hooks and crooks of the Insurance Industry. Any ideas on this?
-
90962
I am quite upset at the proposed 25% increase in premium after having been led to believe that the premium was giong to remain the same when I signed up over 10 years ago. OPM should be a tougher negotiator!
-
90959
All insurance is a bet - the buyer betting they'll pay less with insurance and the insurance company betting they'll earn enough to cover the cost of claims plus a healthy profit. Looks like the Long Term Care Insurance Company lost the bet, but the buyer is going to have to pay for their losses. I unfortunately was also mislead by the OPM offering and purchased the OPM Long Term Care Insurance with the initial offering and am facing the 25% increase. I regret that I did not go with a private offering, as the rates where the rates were set for life. I have started my research, but I am older now and a new company won't give me any credit for the premiums I've already paid.
-
90955
The OPM Contracting Personnel are a bunch of buffoons. I doubt they read the documents the insurance companies put in front of them let alone negotiate on them. The entire contracting office for both FEHBP and Long Term Care should be summarily fired.
-
90951
It's Nov. 2 and I have yet to receive ANYTHING in the mail on the long term care & Blue Cross rate hikes--oh sorry, "adjustments"-- and what my options (if any) are. This has been a complete failure of communication from the beginning, and continues to be so.
-
90946
People think federal employees have great health insurance that costs little or nothing. Try paying over $5,000 for catastrophic out of pocket expenses AND nearly $200.00 per pay period (totaling $5,200.00 per year). This coverage does not cover dependents past the age of 22. The state of Maryland demands insurers cover dependents up to age 25. However, the federal government does not allow this. SO, add on what coverage costs for students that are 22 years or older and see what you are paying for insurance. Also note Maryland hands out 'free' health, dental & vision to all children!
-
90939
John Hancock Enrollees...
Check your original agreement. The Company states that they can raise rates of a class of enrollees. I, too, thought that my rates were locked but they are not.
-
90928
Why has the question not been answered as to why our leadership has this great insurance which cost them very little with no restrictions.(Smell something dirty) Medicine and practicing medicine always has been tied to helping people how have we come to an industry who's main mission is to help people if you can afford it. Looks like this industry along with everything else in this world has come down to greed. So now the government wants to stick their hands in after years allowing lobbiest in their pockets which has created this mess. What a shame we are becoming a country of have a job and dont have a job and the dont have a job are growing daily. Money is the driver here plain and simple its not about saving grandma anymore its about can grandma afford to be saved. If the President can dictate to private companies who will sit as their CEO (which blows my mind) I would think dictating to the health industry much more palletable to Americans since that will have real value and greatly assist struggling taxpayers. When it comes to medicine and Americans health, we need to remove the profits or it is doomed. The people invovled in this industry must get realistic about what they make for the service they provide. Laws prohibit someone from practicing medicine without a license so what are Americans to do. No jobs no money no homes no Dr's because we cant afford them. And NO!! Americans dont want a hand out never did, at least the Americans I know we want to work and feed and care for our families so Washington you want to fix it do things in this order and the country will heal. 1.Jobs 2.Jobs 3.Jobs get it! not highly educated jobs blue collar assembly type work. Bring this work back to the US I'm not sure why our political machine has stayed this course for the past 30 years but we are really feeling the effects now and its not going to get better just worse. I dont want to live in a mud hut but thats what they are doing to us just keep this insanity going both parties.
-
90927
Please people call your congress reps and tell them not pass the government run insurance (public option). This is really going to eat up our pay check. I wish Congress would leave us alone. This is just another government takeover our private lives. Congress could pay for everyone that does not have insurance and still come out cheaper than overhauling the whole system. Why are they not listening? Are they susposed to work for the people or not? Why is everything being done behind closed doors? This really scares me.
-
90925
This is just one more example of the government promising one thing and doing the exact opposite. I too was promised that I had "locked in" the premium in the very beginning only to find out that my rates are going to increase dramatically. If there has to be a rate hike, make it for the new enrollees. But Grandfather the rates for the people that bought in at the very beginning. How about showing the constituents that government really can be trusted for once? I WAS less than 2 years away from retirement, but that estimate was based on set costs to include the Long Term Care Insurance. Now I have to rethink my retirement date. If the cost of this insurance is going to keep going up, will I be able to afford it in 20 years? The cost of living will be going up as well and we all know the annual COLA doesn't even begin to keep pace with the actual increases. How about if the government actually honors a promise?
-
90923
I purchased Long Term Care Insurance from John Hancock Insurance Company approximately 9 years ago. The premiums are set. I will have no increase in the premiums.
-
90922
I fall into the category with the 25% increase. I specifically chose the automatic increases so that I would never have to "pick a plan again". I initially spent months choosing the best plan for me and got ample material at work. Now I am retired and do not have the same resources available and find myself back to square one having to choose a plan. I have the weekly rate and I fear if I stick to the original plan, the pool will become even smaller leading to a possible increase in the future. Any thoughts on this?
-
90919
In 1999 we recommended my mother-in-law, then 70, buy a John Hancock commercial policy. Two years later when the Fed program opened, I and my wife obtained policies. Guess who didn't receive a surprise increase?
-
90916
We're getting the old "gobbly gook" from OPM Director John Berry - He'll evaluate etc. That doesn't help the thousands "misled" by OPM. And Congress wants the Government to run a Public Option program under Health Care Reform? Hold on to your wallet!!
-
90915
In response to your article about the insurance premiums requested in my 2009 open season Brochure are in the stretching catogory you refer too. In my case of all the ones listed on the brochure, Mail Handlers Standard in going up 42% while all the others are in the 4-20% range. I feel that Mail handlers is gouging the system...
-
90912
Does anyone know why BCBS standard premium is 50% of the total rate while other plans are only 30% for the employee? Why didn't BCBS raise the catastrophic instead of not counting the deductible, which would have been the same thing? I call that hiding cost
-
90904
This is nothing compared to FEGLI. The oversight committees really need to take a look at the stealthy rate escalations there that make it unafordable and designed to force people to drop the coverage just when they are about to need it.
-
90901
depending on the plan chosen, the increase could welle xceed 25% and could be as much as 60-70%, as is the case with Plan D in my circumstances.
-
90893
Blue Cross has been raising rates over the past decade by covering less. They used to cover non generic meds under the base copay if no generic was available. Now the copay is more than the monthly premium. They will not tell us where we can find the hospitals and doctors who charge the "reasonable and customary" rate they use to deny full payment. Now they are in the process of establishing their own biological definitions. I recently discovered that my jaw bones have been moved from medical to dental. But, bones grafts and treatment on my jaw are not covered under my dental plan either. Blue Cross will cover the rest of my body once the bone cancer grows beyond my jaw. Health insurance is an oxymoron.
-
90892
I am one of the employees who is being hit by the full 25% increase in Long Term Care Insurance. I was shocked when I heard, and very angry. I chose the high inflation protection coverage because, having no children, I knew that I needed to provide for my own care when I get much older. I accepted that I was paying a high cost, but was willing to do so for the benefit. Now, I am forced to downsize the coverage because I cannot afford a 25% increase, particularly when all other insurance (health, dental and vision) is increasing and I am about to retire. It angers me that I paid high fees for years and will not get any benefit from doing so. I feel misled and cheated.
-
90885
I think all concerned who have any smattering of intelligience understand that all this is so much smoke and mirrors, ex post facto posturing. Congress will huff and puff and express - well-simulated - outrage for the supposed edification of their gouged constituents, but the Bard would see it for what it is - sound and fury signifying nothing. The bottom line remains that OPM "blew it" on the point about being upfront seven years ago regarding how the FLTCP's ACI feature would operate, and when their overly optimistic revenue projections (sound familiar?) went south had to raise the ACI rates in particular spectacularly. So please, congresspersons, enough of the hypocrisy. After you've milked the outrage schtick for all it's worth, nothing will change other than the expensive and painful lesson now learned for the first time by many FLTCP registrants about how the government treats its own employees with the same contempt and disregard with which it normally views with the "great unwashed" general public. Welcome to reality.
-
90861
More discussion needs to go on about hidden costs. First off let me say I am thankful to have medical insurance what does concern me is that under FEHB we are deceived quite often about the coverage. I have been with BCBS for years and this upcoming season want to switch plans based on benfits received for the price I pay. Serious flaw in the evaluation is determing the allowable cost that the medical plan will pay. Seems BCBS nor GEHA can tell me upfront for some of the basic procedures. I can't really compare the true cost or how they will reimburse he charges. Since I live on a state border and use facilities in two different states it is even worse. GEHA wants to look at my home state and anything in the other state tehy said will be out of network. Sad part is, the other state has the advanced and more comprehensive services i.e. trauma center, medical research hospitals for advanced care. Finding out how they reimburse doctors is like trying to find out how your credit score is determined.
-
90855
This is the main reason I have never signed up for this program. You can't trust OPM to negotiate good rates for employees or to require those who deal with employees to treat them fairly.
-
90854
So, who's running the show? Have the insurance companies gained the upper hand and forced OPM to accept less for more or has OPM caved in and lost its ability to properly administer these insurance providers?
-
90847
Congressman Connolly is misleading everyone if he thinks all federal employees are stupid enough to buy into a program without reading it first. Just about the last thing we need is OPM being tasked with developing a program to wipe our backsides everytime an ignorant group of us mess ourselves and then turn around and put the blame on someone else. If that's an example of how we operate the Federal Government, then we are earning the degrading opinion that the general public may have of us.
PROMO RIGHT: EVENTS
UPCOMING WEBINARS
NOVEMBER 18
Speed bumps for Teleworking: What are they and how to avoid them?
DECEMBER 3
Achieve Program Success: Unlock the Management Information in Your Data
DECEMBER 10
Practical Transparency: Applying Exchange Networks for Mission Results
PROMO RIGHT: DIRECTORIES
Post a Comment
To post a comment, you must provide a name and a valid e-mail address. Messages must be limited to 400 words. By using this Service you agree not to post material that is obscene, harassing, defamatory, or otherwise objectionable. Although Government Executive does not monitor comments posted to this site (and has no obligation to), it reserves the right to delete, edit, or move any material that it deems to be in violation of this rule.