Retired Feds: Experience with FEHB TCC for adult child?

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delamer
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Joined: Tue Feb 08, 2011 6:13 pm

Retired Feds: Experience with FEHB TCC for adult child?

Post by delamer » Wed Jun 28, 2017 2:30 pm

My oldest kid will age out (turning 26) of our family FEHB coverage this fall. We are exploring options for health insurance; kid does not have access to own employer-provided insurance.

One possibility is Temporary Continuation of Coverage available for 36 months through FEHB. But everything that I've found online about TCC talks about contacting employing office to make arrangements. However, since I am retired, there is no employing office. So I am guessing that I need to explore this through OPM.

I was hoping that someone in the forum might have had experience with this and can steer me to the right OPM source, either online or via telephone.

Secondarily, does anyone know anything about the conversion option and how/if that coordinates with TCC? Can kid take TCC for 36 months and then use the conversion option? Or is the choice between TCC and conversion at first loss of eligibility?

Thanks for any information.

delamer
Posts: 3088
Joined: Tue Feb 08, 2011 6:13 pm

Re: Retired Feds: Experience with FEHB TCC for adult child?

Post by delamer » Sat Jul 01, 2017 1:55 pm

Bumping my post from a few days ago -- does anyone have with any experience with FEHB's Temporary Continuation of Coverage or conversion?

motorcyclesarecool
Posts: 205
Joined: Sun Dec 14, 2014 7:39 am

Re: Retired Feds: Experience with FEHB TCC for adult child?

Post by motorcyclesarecool » Sat Jul 01, 2017 2:03 pm

Dunno. Try Fedsmith, Federal Soup, or Federal Radio fora.

If even eligible, TCC premiums tend to run roughly 400% of the active employee or annuitant premium. Junior might do better on the exchange. :shock:
Understand that choosing an HDHP is very much a "red pill" approach. Most would rather pay higher premiums for a $20 copay per visit. They will think you weird for choosing an HSA.

delamer
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Joined: Tue Feb 08, 2011 6:13 pm

Re: Retired Feds: Experience with FEHB TCC for adult child?

Post by delamer » Sat Jul 01, 2017 2:34 pm

motorcyclesarecool wrote:Dunno. Try Fedsmith, Federal Soup, or Federal Radio fora.

If even eligible, TCC premiums tend to run roughly 400% of the active employee or annuitant premium. Junior might do better on the exchange. :shock:
For my kid to have self-only coverage on the same plan, the total TCC premium is $10/month more than the total premium for employees/annuitants with self-only coverage. Now the premium is all out-of-pocket, in addition to our share of premiums for family coverage, so it is a significant expense but nothing like 400%. Maybe the 400% is comparing the total premium under TCC to the employee/annuitant share of the premium.

motorcyclesarecool
Posts: 205
Joined: Sun Dec 14, 2014 7:39 am

Re: Retired Feds: Experience with FEHB TCC for adult child?

Post by motorcyclesarecool » Sat Jul 01, 2017 3:32 pm

delamer wrote:Maybe the 400% is comparing the total premium under TCC to the employee/annuitant share of the premium.
That's what I was attempting to convey. TCC is full freight. Active / Annuitant employee share under FEHB is rather small by comparison. I've been exploring my health insurance options under an MRA+10 retirement with the annuity delayed to age 62, and considering purchasing from the exchange or obtaining a catastrophic plan with a fully funded HSA for the gap between retiring and the resumption of FEHB at 62. I hope to do better than TCC in the interregnum.
Understand that choosing an HDHP is very much a "red pill" approach. Most would rather pay higher premiums for a $20 copay per visit. They will think you weird for choosing an HSA.

delamer
Posts: 3088
Joined: Tue Feb 08, 2011 6:13 pm

Re: Retired Feds: Experience with FEHB TCC for adult child?

Post by delamer » Sat Jul 01, 2017 3:43 pm

motorcyclesarecool wrote:
delamer wrote:Maybe the 400% is comparing the total premium under TCC to the employee/annuitant share of the premium.
That's what I was attempting to convey. TCC is full freight. Active / Annuitant employee share under FEHB is rather small by comparison. I've been exploring my health insurance options under an MRA+10 retirement with the annuity delayed to age 62, and considering purchasing from the exchange or obtaining a catastrophic plan with a fully funded HSA for the gap between retiring and the resumption of FEHB at 62. I hope to do better than TCC in the interregnum.
Yes, TCC is full freight and more expensive than the exchange options. But maintaining that connection to the FEHB seems very valuable given the uncertainty surrounding insurance in general and the exchanges in specific. Since my kid needs just self-only coverage, the TCC cost isn't too bad.

One thing I want to understand is whether conversion is available once the 36 months of TCC is over, and whether the premium is comparable.

motorcyclesarecool
Posts: 205
Joined: Sun Dec 14, 2014 7:39 am

Re: Retired Feds: Experience with FEHB TCC for adult child?

Post by motorcyclesarecool » Sun Jul 02, 2017 6:57 am

delamer wrote:But maintaining that connection to the FEHB seems very valuable given the uncertainty surrounding insurance in general and the exchanges in specific.
Is there a special circumstance that would lead your adult son or daughter to refuse employer-provided health insurance in the future, in favor of maintaining a connection to FEHB?

If so, an estate planning attorney and/or CFP specializing in special circumstances would be my first stop in order to strategize the entire financial picture.

If not, then can you help me understand the desire to maintain that connection for an adult son or daughter now vis-a-vis the exchange versus later vis-a-vis an employer plan? If my question is too personal then by all means disregard.
Understand that choosing an HDHP is very much a "red pill" approach. Most would rather pay higher premiums for a $20 copay per visit. They will think you weird for choosing an HSA.

delamer
Posts: 3088
Joined: Tue Feb 08, 2011 6:13 pm

Re: Retired Feds: Experience with FEHB TCC for adult child?

Post by delamer » Mon Jul 17, 2017 9:33 am

motorcyclesarecool wrote:
delamer wrote:But maintaining that connection to the FEHB seems very valuable given the uncertainty surrounding insurance in general and the exchanges in specific.
Is there a special circumstance that would lead your adult son or daughter to refuse employer-provided health insurance in the future, in favor of maintaining a connection to FEHB?

If so, an estate planning attorney and/or CFP specializing in special circumstances would be my first stop in order to strategize the entire financial picture.

If not, then can you help me understand the desire to maintain that connection for an adult son or daughter now vis-a-vis the exchange versus later vis-a-vis an employer plan? If my question is too personal then by all means disregard.
Most of the work in kid's chosen field is freelance, so having access to health insurance that isn't tied to kid's employment is valuable. While the FEHB TCC is more expensive than the ACA exchange plans, the quality of the FEHB plans seems to be higher too. Still investigating.

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