Civil Service 

Retirement 

System 

Federal Employees’ 

Group Life 

Insurance Program 

Federal Employees 

Health Benefits 

Program 

Federal Employees 

Retirement 

System 

Federal 

Long Term 

Care Insurance 

Program 

United States 

Office of 

Personnel Management 

The Federal Government’s Human Resources Agency

Retirement and Insurance Service 

Benefits Administration Letter 

Number: 01-405 Date: November 1, 2001 

Subject: 2001 Federal Employees Health Benefits (FEHB) Program Open Season: 

Notice to Employees

GENERAL 

This Letter contains a sample announcement for agencies to use to notify their employees of the 

upcoming FEHB open season, as well as instructions to agencies concerning the notification. 

 

REQUIRED LANGUAGE 

Office of Management and Budget (OMB) 

The Office of Management and Budget has asked us to advise agencies to include the following 

statement in the agencies' notices to employees about open season: 

Please note that information you provide by enrolling in the Federal Employees 

Health Benefits Program may also be used for computer matching with Federal, 

State, or local agencies' files to determine whether you qualify for benefits, 

payments, or eligibility in the Federal Employees Health Benefits Program, 

Medicare, or other Government benefits programs. 

Temporary Continuation of Coverage (TCC) 

The FEHB law requires that before open season, all employees eligible for FEHB, whether 

enrolled or not, be notified of their rights under temporary continuation of coverage. We have 

included language about TCC in our suggested announcement. If you prepare your own open 

season announcement, be sure to include this TCC language. 
2

NOTICE TO EMPLOYEES 

Agency Responsibility 

You must inform your employees, participating former spouses, and TCC enrollees, in advance, 

of the dates and purpose of open season. You may use the following suggested announcement.

SUGGESTED ANNOUNCEMENT 

 SUBJECT: 2001 Health Benefits Open Season 

 A Federal Employees Health Benefits (FEHB) open season will be held from 

November 12 through December 10, 2001. Your current health plan will send 

you a copy of its brochure and a notice of its 2002 rates before open season 

begins. 

 During open season, any eligible employee who is not currently enrolled may 

enroll, and any eligible enrollee may change from one plan or option to another, 

from self only to self and family, or make a combination of these changes. In 

addition, open season allows employees to change their premium conversion 

election. An eligible employee who enrolls in FEHB may elect to participate or to 

waive participation in premium conversion. An eligible enrollee may elect to 

begin participation if they have previously waived, or waive participation. 

 Enrollees who wish to continue their current FEHB enrollments and premium 

conversion elections do not need to take any action during this open season. 

However, enrollees whose plans will not be participating in the FEHB 

Program after December 31, 2001, or whose plans dropped the enrollment 

code they are enrolled in, MUST enroll in a different plan to continue FEHB 

coverage in 2002. (See attached lists of terminating plans and codes.) [If you 

don't attach the list, include the names of the terminating plans within the text of 

your announcement.] 

Types of Plans Available Under the FEHB Program 

Managed Fee-for-Service Plans 

 

These plans reimburse you or your health care provider for covered services after the 

services are received. If you enroll in one of these plans, you may choose your own 

physicians, hospitals, and other health care providers. 

 These plans are considered "managed" because they all contain features such as precertification of hospital admissions and utilization review of ongoing care. In 

addition, most of the fee-for-service plans have preferred provider arrangements in 

many parts of the country. You can reduce your out-of-pocket expenses and, in some 
3

cases, receive enhanced benefits by using preferred providers. 

Fee-for-service plans include the Blue Cross Blue Shield Service Benefit Plan and 

plans sponsored by unions and other employee organizations. Several employee 

organization plans are open to all eligible employees who are full or associate 

members of the organizations that sponsor the plans. Other employee organization 

plans are restricted to certain groups and/or agencies. 

 (See the employee organization plan brochures for information about 

membership requirements and membership dues, which are in addition to 

your biweekly or monthly premiums.) 

Health Maintenance Organization Plans (HMOs) 

These plans provide a comprehensive array of medical services, emphasizing 

prevention and early detection of disease, through contracted physicians, hospitals, 

and other providers in particular locations. 

Each HMO is open to employees within the plan's enrollment area. You cannot 

enroll in an HMO if you are located outside its enrollment area. Refer to the plan's 

brochure if you have any questions about the enrollment area. If you are enrolled in 

an HMO, be sure to review the brochure carefully to see if there are any 

changes in the plan's service area which would require any action on your part.

Plans Offering a Point of Service (POS) Product 

Some FEHB plans combine their features. A number of fee-for-service and HMO 

plans offer two forms of health care delivery, known as "in network" and "out of 

network." 

In an HMO that offers a POS product, the POS product acts like a fee-for-service 

plan. The HMO enrollees may use non-affiliated (out of network) providers if they 

wish, but the services will cost them more--in terms of deductibles and coinsurance--

than if they used plan providers. 

 In a fee-for-service plan with a POS product, the POS product acts like an HMO. If 

they agree to let their medical care be managed by in network physicians, plan 

enrollees will get a better benefit, usually in the form of richer benefits and lower 

copays or coinsurance. 

If you are considering enrolling or making an enrollment change, contact [location] to 

obtain a copy of the 2002 Guide to Federal Employees Health Benefits Plans (FEHB 

Guide). The FEHB Guide contains a comparison chart that gives general information 

about each plan. The Guide also shows the biweekly and monthly premium rates, as well 

as the accreditation status of those plans that took the initiative to seek review by the 
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National Committee for Quality Assurance (NCQA), the Joint Commission on 

Accreditation of Healthcare Organizations (JCAHO), and/or American Accreditation 

Healthcare Commission (URAC). 

Do not rely solely on the FEHB Guide when deciding whether to enroll or change 

enrollment to a specific plan. If you decide you are interested in making an enrollment 

change after reviewing the FEHB Guide, you should consult the plan's brochure for a 

complete description of benefits. Brochures for all plans will be available for your 

inspection at [location]. 

Internet Availability 

If you have access to the Internet, you should know that all 2002 FEHB Guides and health plan 

brochures will be available from the Office of Personnel Management’s (OPM) web site 

(http://www.opm.gov/insure). The Guides and brochures will be available in PDF format for 

downloading and printing, as well as a text version suitable for the visually impaired. The web site 

will contain links from the Guides and brochures to health plan web sites for information about 

the plans, as well as links to other related web sites. 

 

How to Enroll or Make an Enrollment Change During Open Season

Employees who wish to enroll or change their FEHB enrollment must complete a Health 

Benefits Registration Form [Standard Form (SF) 2809]. These forms are available from 

the [name and room number of appropriate office] and must be completed and submitted 

to that office before the close of business on the last day of open season. You may also 

obtain the SF 2809 from the OPM web site. 

Employees who wish to change their premium conversion election must complete a FEHB 

Premium Conversion Waiver/Election Form. You should make desired enrollment 

changes as early as possible during open season to ensure timely processing. 

 [Agencies whose employees have access to Employee Express should provide 

information to their employees about using the system to make open season 

changes.]

New enrollments, changes to current enrollments, and changes to premium conversion 

elections made during open season generally will become effective the first day of the first 

pay period beginning on or after January 1, 2002. If you change plans, any covered 

expenses incurred between January 1, 2002, and the effective date of the open season 

change will count toward the 2001 deductible of the plan you are changing from. 

Information that you provide by enrolling in the Federal Employees Health Benefits Program may 

be used for computer matching with Federal, state, or local agencies' files to determine whether 

you qualify for benefits, payments, or eligibility in the Federal Employees Health Benefits 

Program, Medicare, or other Government benefits programs. 
5

Temporary Continuation of Coverage (TCC) 

 If you have FEHB coverage and leave Federal employment, you will usually be 

eligible for up to 18 months of TCC (unless you are separated for gross 

misconduct). TCC can continue for up to 36 months for dependents who lose 

eligibility as family members under your enrollment. This includes spouses who 

lose coverage because of divorce and children who lose coverage because they 

marry or reach age 22. 

 TCC enrollees must pay the total plan premium (without a Government 

contribution) plus a 2% charge for administrative expenses. There are specific 

periods within which you or your dependent must enroll for TCC. Contact your 

personnel office for a copy of RI 79-27 for more information. 

Important: You must exhaust TCC eligibility as one condition for guaranteed 

access to individual health coverage under the Health Insurance Portability and 

Accountability Act. 

 

PATIENT SAFETY 

Medical error and patient safety aren’t well understood by most Americans. Every hour, 

many Americans die in a hospital due to avoidable errors, and others become disabled. 

Many patients get the wrong medicine, tests, and/or diagnosis. By asking questions, 

learning more, and understanding your risks, you can improve the safety of your health 

care, and that of your family members. We are asking that enrollees take the following 

Five Steps to Safer Health Care: 

Five Steps to Safer Health Care 

1. Speak up if you have questions or concerns. Choose a doctor who you feel comfortable 

talking to about your health and treatment. Take a relative or friend with you if this will help 

you ask questions and understand the answers. It's okay to ask questions and to expect 

answers you can understand. 

2. Keep a list of all the medicines you take. Tell your doctor and pharmacist about the 

medicines that you take, including over-the-counter medicines such as aspirin, ibuprofen, and 

dietary supplements like vitamins and herbals. Tell them about any drug allergies you have. 

Ask the pharmacist about side effects and what foods or other things to avoid while taking 

the medicine. When you get your medicine, read the label, including warnings. Make sure it 

is what your doctor ordered, and you know how to use it. If the medicine looks different than 

you expected, ask the pharmacist about it. 

3. Make sure you get the results of any test or procedure. Ask your doctor or nurse when 
6

and how you will get the results of tests or procedures. If you do not get them when expected 

-- in person, on the phone, or in the mail -- don’t assume the results are fine. Call your doctor 

and ask for them. Ask what the results mean for your care. 

4. Talk with your doctor and health care team about your options if you need hospital 

care. If you have more than one hospital to choose from, ask your doctor which one has the 

best care and results for your condition. Hospitals do a good job of treating a wide range of 

problems. However, for some procedures (such as heart bypass surgery), research shows 

results often are better at hospitals doing a lot of these procedures. Also, before you leave the 

hospital, be sure to ask about follow-up care, and be sure you understand the instructions. 

5. Make sure you understand what will happen if you need surgery. Ask your doctor and 

surgeon: Who will take charge of my care while I'm in the hospital? Exactly what will you 

be doing? How long will it take? What will happen after the surgery? How can I expect to 

feel during recovery? Tell the surgeon, anesthesiologist, and nurses if you have allergies or 

have ever had a bad reaction to anesthesia. Make sure you, your doctor, and your surgeon all 

agree on exactly what will be done during the operation. 

{End sample announcement} 

FEHB WEB SITE 

We are encouraging all employees to use the FEHB Web Site during the 2001 Open Season. You 

may download the 2002 FEHB Guides, Plan brochures, SF 2809, as well as all open season Benefits 

Administration Letters (BAL) from this site. All Federal agencies at the headquarters and 

installation levels must take steps to seek out visually impaired employees and to let them know that 

the large-print FEHB Guide, the cassette tapes, and the FEHB web site are available. All of the 

information in the FEHB Guides, as well as each health plan brochure, is also available in 

electronic formats accessible to the visually impaired on the website. Please encourage your 

employees to visit the website at www.opm.gov/insure.

 

 Abby L. Block, Chief 

 Assistant Director 

 for Insurance Programs