Director's Message

Director's Message

Postal Service Health Benefit Program

I know all of you are familiar with the Postal Service Reform Act and its congressional passage last year. However, after receiving several inquiries, I realize this has left many of you are wondering how it will affect your health insurance. My goal in this article is to help you understand the changes, what they mean to your NALC Health Benefit Plan enrollment, and help promote peace of mind for our membership.

There are two main areas of the legislation that relate to your health care—changes within the Federal Employees Health Benefits (FEHB) Program and Medicare integration. Right off, I know this might sound unsettling, but rest assured, it’s not as alarming as it sounds.

Let’s start with the term Postal Service Health Benefits (PSHB) Program and address the three biggest questions about it:

The other element I would like to speak about is the Medicare integration component of the Postal Reform Act. Under this law, future Postal Service retirees will be required to enroll in Medicare Parts A and B. However, there are some individuals who are exceptions to the rule: 1) Any postal employee who is retired before Jan. 1, 2025; 2) any active postal employee who is 64 or older as of Jan. 1, 2025; 3) any postal annuitant who can prove that they do not reside in the United States; or, 4) any postal annuitant who receives benefits provided by the Department of Veterans Affairs or Indian Health Services. If you meet any of these criteria, you will not be required to enroll in Medicare; however, if you were previously eligible and chose not to enroll but now wish to, there will be a special enrollment period in the spring of 2024 allowing Postal Service annuitants to enroll without paying the Medicare late enrollment penalties.

Although these are big changes, they are not as complicated as they appear. The Plan is focused on making the transition as seamless as possible, and we will keep you informed about important dates and when there are actions you need to take.


Note: The information located in this article is only a summary of some of the NALC Health Benefit Plan benefits.  Detailed information can be found in the NALC Health Benefit Plan's official brochure (RI 71-009).  All benefits are subject to the definitions, limitations, and exclusions set forth in the official brochure.