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LEGISLATIVE NEWS THAT AFFECTS YOU TRICARE Changes
Now that the 2017 National Defense Authorization Act has passed, MOAA analyzes how changes coming to TRICARE will affect roughly 1.5 million military retirees and survivors.
M
OAA successfully worked with Congress to avoid the majority of TRICARE fee hikes for current
beneficiaries. That means we dodged the bullet on proposals to: impose an annual TRICARE For Life en- rollment fee of up to 2 percent of retired pay; raise annual fees by 50-100 percent for TRICARE Prime and TRICARE Standard over several years; and double pharmacy copayments over the next 10 years. Congress opted to (mostly) grandfather
currently serving and retired military bene- ficiaries against these hikes. However, some lesser changes will affect roughly 1.5 million retired military and survivor beneficiaries who get their health care under TRICARE Standard. Those changes include: As of Jan. 1, 2018, TRICARE Standard has been renamed TRICARE Select. Also starting in 2018, you will need to go through a formal enrollment process (sign- ing an enrollment form) to participate in TRICARE Select. Currently, you have to enroll to get care under TRICARE Prime, but your ID card is all you need under TRI- CARE Standard. That will change in fall 2017, when Standard users will get a notice about needing to enroll in TRICARE Select if they want coverage in 2018. MOAA lobbied for a grace period for
that first year of enrollment, recognizing there always will be people who don’t get the word about big changes like this. During that first year, if you haven’t enrolled and
have to go to a doctor or hospital, you will be charged the out-of-network fee for that first incident of care but then must enroll in TRI- CARE Select to get further care. For 2018-19, there won’t be any enrollment fees for TRICARE Select. But beginning Jan. 1, 2020, there will be an annual TRICARE Select enrollment fee of $150 (individual) or $300 (family). Cur- rently serving families, Chapter 61 (medi- cal) retirees, and military survivors whose sponsors died on active duty will be exempt from paying the fee. For subsequent years after 2020, the enrollment fee will be increased by the same annual percentage as the annual retired pay COLA. At the same time the TRICARE Select enrollment fee is established in 2020, the annual catastrophic cap on out-of-pocket expenses for retired families will be raised to $3,500 (versus the current $3,000). In subsequent years, the cap will be increased by the same percentage as the annual re- tired pay COLA. The cap will remain at $1,000 a year for currently serving families. While minimal compared to what was
threatened earlier this year, these changes still represent administrative and fiscal ad- justments for current TRICARE Standard users who have never been subjected to any enrollment requirements. MOAA has worked hard to protect
retired Standard beneficiaries from inad- vertent adverse experiences during the transition to the new enrollment system.
FEBRUARY 2017 MILITARY OFFICER 31
Take Action Visit
capwiz.com/moaa/ home to send your legislators a MOAA- suggested message on key issues affecting the military community.
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