Can federal employees keep their health insurance?
Asked by: Dr. Marina Kuvalis | Last update: January 4, 2026Score: 4.2/5 (74 votes)
What is the 5 year rule for federal health insurance?
You need to be enrolled in FEHB for five years before you retire, or for the entire time for which you were eligible to be enrolled, and retire on an immediate annuity to be eligible to continue coverage into retirement.
Can I keep my federal health insurance when I quit my job?
Yes, if you quit, your health coverages end that day effective 11:59pm. So go get your health and wellness in order before you quit.
How long can I keep my federal health insurance after retirement?
Your FEHB coverage (Federal Employees Health Benefits) is an important benefit while you're working, and if you meet the eligibility rules, you and your spouse can keep the benefit for the rest of your lives in retirement.
Can I keep FEHB instead of Medicare?
Because all FEHB Program plans have as good or better coverage than Medicare, they are considered to offer creditable coverage. So, if you decide not to join a Medicare drug plan now, but change your mind later and you are still enrolled in FEHB, you can do so without paying a late enrollment penalty.
Medicare and FEHB | Do You need Part B?
Do federal employees get to keep their health insurance?
If an employee maintains their FEHB for five years prior to retirement (although they can switch insurance companies during that time) they are eligible to carry their health insurance into retirement.
Why is FEHB so expensive?
“The premium increases are due to the impact of price increases by providers and suppliers, increased utilization of certain prescription drugs and behavioral health spending,” OPM said. “Industry-wide cost pressures affect FEHB and PSHB rates similarly.”
Is it worth keeping FEHB in retirement?
Not only does the federal government continue to provide healthcare coverage to you as a retiree, but it also continues to pick up roughly 72 percent of your premium. Obviously, this is a benefit that you should seriously consider continuing in retirement.
What happens to my federal health insurance when I turn 65?
If you are turning 65 years old and you are employed, your coverage continues unreduced. For retirees, your coverage may/may not reduce based on your elections you made at retirement for your Basic and Optional coverages.
Can you lose federal retirement benefits?
Can You Lose Your Federal Retirement Benefits If You Are Fired? Generally speaking, your retirement benefits should be safe. For most federal employees, retirement benefits cannot be ended due to basic disciplinary proceedings or if you are fired. This is assuming your retirement is already vested.
Do federal employees' spouses get health insurance after retirement?
If you have a Self and Family enrollment, any new eligible family member — such as a new spouse, if you are a retired employee — is automatically covered by your health plan.
What is the 60 day loophole for cobras?
You have 60 days to enroll in COBRA once your employer-sponsored benefits end. Even if your enrollment is delayed, you will be covered by COBRA starting the day your prior coverage ended.
How long can I keep my health insurance after I quit my job?
COBRA coverage lets you pay to stay on your job-based health insurance for a limited time after your job ends (usually 18 months). You usually pay the full premium yourself, plus a small administrative fee. Contact your employer to learn about your COBRA options.
How long does health insurance last after quitting federal job?
Health. If you leave Federal Service, you may be eligible for Temporary Continuation of Coverage (TCC) for up to 18 months under the FEHB. TCC is a feature of the (FEHB) Program that allows certain people to temporarily continue their FEHB coverage after regular coverage ends.
What is the five year rule for federal employees?
As a rule, you can only continue your FEHB and/or FEGLI coverage into retirement if you are 1) currently enrolled, 2) have been enrolled for at least five years or from your earliest opportunity to enroll, and 3) are retiring on an immediate annuity (including disability).
How much do federal employees pay for health insurance?
Federal Employees Health Benefits (FEHB)
The 2025 biweekly maximum government contribution for most employees and annuitants (72% of the weighted average) is $298.08 for Self Only, $650.00 for Self Plus One, and $714.23 for Self and Family.
Can federal employees have both FEHB and Medicare?
As an active or retired Federal employee, you may be covered by both the Federal Employees Health Benefits (FEHB) Program and Medicare.
Can I keep my federal health insurance if I retire early?
The positive to early retirement is you are allowed to maintain your FEHB and FEGLI benefits possibly. In addition, there is no income means test associated with early retirement, so you could also work an additional job with no penalty.
Can you stay on employer health insurance after 65?
It depends on how you are receiving your current insurance. If you are receiving employer-sponsored health insurance through either your or your spouse's job when you turn 65, you may be able to keep your insurance until you (or your spouse) retire(s).
Can retired federal employees deduct health insurance premiums?
No, retiree pay premiums on a post tax basis.
Can I cancel my FEHB when I retire?
As a retiree, you can change your FEHB enrollment during the annual Open Season (held from mid-November through mid-December) or when you experience a Qualifying Life Event (QLE). If you cancel your FEHB enrollment as an annuitant, you will never be able to re-enroll in FEHB.
Can federal employees medically retire?
To qualify for OPM disability retirement, federal employees must meet certain minimum eligibility standards for their medical condition and job performance. These eligibility standards include: Minimum period of creditable service.
Do federal employees get free healthcare for life?
In a word – yes. Federal employees are entitled to keep FEHB coverage even after they retire. However, they must be currently enrolled in the FEHB program, and have been enrolled for the full five years preceding your retirement.
What is the truth about federal employee health insurance after retirement?
Can I keep my health benefits after I retire? Yes, you can keep your existing health benefits coverage if you meet all of the following conditions: You're enrolled in health care insurance under a federal plan when you retire.
Will retired federal employees get a raise in 2025?
For the year 2025, annuitants who retired under CSRS will receive 2.5 percent increase and those who retired under FERS will receive a 2.0 percent increase. The rate varies each year.