Civil Service

Retirement

System

Federal Employees’

Group Life

Insurance Program

Federal Employees

Health Benefits

Program

Federal Employees

Retirement

System

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: 01-402 Date: October 3, 2001

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

Significant Plan Changes

PURPOSE

This letter transmits lists of significant events affecting certain plans during the upcoming FEHB 

Open Season. Some of these events will require action on the part of agencies and enrollees. 

Also note the plans that are dropping out of the Program at the end of 2001. Since employees in 

these plans must enroll in new plans during open season if they are to continue insurance coverage 

in 2002, we ask that you distribute this list widely within your agencies.

TERMINATIONS

Section 1: Plans Dropping Out of the FEHB Program for 2002

Section 2: Plans Reducing Their Service Areas by Terminating an Enrollment Code

What Must Employees Do? 

• Employees in terminating plans (Section 1) or in terminating codes (Section 2) must choose 

a new health plan during open season.

· New coverage. Coverage under an enrollee’s new health plan will be effective the first day 

of the pay period beginning on or after January 1, 2002: for most employees this will be 

January 13, 2002. Enrollees will remain covered and receive benefits under the old plan 

until coverage under the new plan becomes effective.
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What Must You Do?

• You must notify employees in the terminating plans and enrollment codes to select new 

plans. Advise your employees that if they do not choose new health plans, they will not 

have coverage in 2002.

• We strongly recommend that you distribute copies of these lists to each employee, along 

with your agency’s notice about open season.

• We also recommend that you follow up with employees in these plans and remind them to 

select new plans.

· Belated changes. Some employees still might not get the word to change plans during open 

season. We encourage you to be liberal in accepting belated open season changes from 

employees enrolled in terminating plans/enrollment codes.

What Will Health Plans Do?

· Plan Notification. The plans in sections 1 and 2 have been instructed to notify enrollees of 

the need to select new health plans for 2002. However, because some plans’ enrollment 

and address lists may not be up to date, we encourage you to accept belated changes.

SERVICE AREA REDUCTIONS

Section 3: Plans Reducing Their Service Areas Without Terminating an Enrollment Code

Enrollees in the service areas being terminated must elect new health plans for 2002. 

Enrollees who do not choose new health plans will have to travel to their plan’s remaining 

service area to receive full benefits.

 

Section 4: Plans Splitting a Service Area

Enrollees in these plans must complete a Standard Form (SF) 2809 to enroll in the new code 

for their service area or elect another health plan during the open season. 

What Must You Do?

 • We strongly recommend that you distribute a copy of these lists to each employee, along with 

your agency’s notice to employees about open season. 

 • If you do not distribute the lists, remind employees to check their new health plan brochures 

carefully to see if there have been any changes to their plans’ service areas that will affect 

them.

OTHER CHANGES
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Section 5: New Plans Entering the Program for 2002

Section 6: Service Area Expansions Without New Enrollment Codes 

• You must include these new plans and expanded service areas when you count the number of 

eligible employees and place your orders for brochures. 

Section 7: Plan Name Changes 

Section 8: Plans Dropping a Point of Service Product

These plans are dropping their Point of Service Product (POS) for 2002. Enrollees who use 

the POS Option may want to consider changing plans during open season.

Section 9: Plans Adding a Point of Service Product

Section 10: Code Mergers

 Enrollees in the codes that merge will be transferred to the surviving code.

Section 11: Plan Mergers

These plans are merging with other plans at the end of 2001. Enrollees in the “old” plans will 

be transferred automatically to the “gaining” plans and do not need to take action. Enrollees in 

the old plans, must choose different plans during open season if they do not wish to be 

transferred to the new plans.

Section 12: Plans Merging Options

The plan in this section (Blue Cross and Blue Shield Service Benefit Plan) will merge its 

current High Option and Standard Option into one. Enrollees currently in the Plan’s High 

Option will be transferred to the surviving option unless they select a new plan for 2002.

Section 13: Plans Dropping an Option 

Enrollees in the Option being dropped will be automatically transferred to the surviving option 

unless they select a new plan for 2002.

Section 14: Plans Adding an Option
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FEHB WEBSITE

We have made changes to the FEHB website to make it easier to navigate and find information. 

The 2001 Open Season website will be up no later than November 1, 2001. All 2001 Open Season 

information including plan brochures, FEHB Guides, plan rates and more will be easily accessible 

from the site. Some end of year changes such as plan terminations are already available on the 

website. 

We encourage you and your employees to visit the web site at www.opm.gov/insure for the 

most up to date information.

Abby L. Block

Assistant Director 

 for Insurance Programs

Attachment