United States 

Office of 

Personnel Management 

The Federal Government’s Human Resources Agency

Benefits Administration Letter 

Number: 07-404 Date: October 4, 2007 

Subject: 2007 Federal Benefits Open Season: Conducting the Open Season

This is the fourth Benefits Administration Letter (BAL) in our series of 2007 Federal Benefits 

Open Season BALs. This BAL is about conducting the upcoming Federal Benefits Open Season 

which incorporates the Federal Flexible Spending Account Program (FSAFEDS), the Federal 

Employees Dental and Vision Insurance Program (FEDVIP) and the Federal Employees Health 

Benefits (FEHB) Program. You can find all Open Season related Benefits Administration 

Letters (400 Series BAL) at www.opm.gov/asd/htm/bal07.asp

This year’s Federal Benefits Open Season will run from Monday, November 12 through 

Monday, December 10, 2007. 

GENERAL INFORMATION 

FEDERAL BENEFITS PROGRAMS WEBSITE 

Our website is informative and easy to use. You can link to most of our topics directly from our 

home page at www.opm.gov/insure. We encourage you and your employees to use this website 

during the 2007 Open Season. 

COUNSELING EMPLOYEES 

Agencies are responsible for counseling employees who ask for help on benefit matters. 

Counseling should be limited to answering questions about the programs, such as questions on 

eligibility, premium conversion or the application of FEDVIP provisions or FEHB law and 

regulations to particular circumstances. The new Guide to Federal Benefits provides summary 

information that is designed to help employees narrow their choices of plans, not to make final 

decisions. The Guide to Federal Benefits is a useful resource and reference for current 

employees during Open Season and also for new or newly eligible employees throughout the 

year. You should refer employees to the actual FEHB or FEDVIP plan brochures for specific 

information on benefits. If the answers cannot be found in the brochure, instruct the employee to 

contact the plan directly. Do not refer employees to the plans if their questions concern subjects 

other than benefits. Agencies, not the plans, are responsible for answering questions about 

eligibility and enrollment rules. If you do not know the answer, contact your agency’s 
headquarters level Benefits Officer. You can find Benefits Officer contact information at 

http://apps.opm.gov/abo. 

CARRIER OR PROGRAM REPRESENTATIVE ACCESS 

Benefit Fairs – We strongly encourage agencies to hold Open Season benefit fairs and to permit 

representatives from FEHB, FEDVIP, FSAFEDS and the Federal Long Term Care Insurance 

Program (FLTCIP) carriers to address groups of employees on their plans’ benefits, methods of 

obtaining services, and similar matters. When holding benefit fairs, remember: 

• FEHB and FEDVIP carrier representatives are expected to confine their presentations to 

benefit provisions and claims procedures of the specific plan they represent. Questions 

that do not pertain to benefits or claims should be referred to agency insurance officials. 

• This is the second year for FEDVIP. A listing of plan contacts for the dental and vision 

plans can be found in Attachment 1 of BAL (07-403). 

• You should also include information about FSAFEDS. Please contact Bart Turney at 

SHPS, the administrator of FSAFEDS, at fsafeds-hr@shps.com to request FSAFEDS 

marketing materials and/or participation at your benefit fairs. Employees wanting 

information on FSAFEDS should visit the website at www.fsafeds.com or contact a 

benefits counselor at 1-877-FSAFEDS (372-3337), TTY 1-800-952-0450. 

• While the FLTCIP does not have an annual open season, you may wish to include 

information on the Program at your benefit fairs. Eligible employees and annuitants may 

apply at any time by completing the full underwriting application. Please contact 

Maureen McNally at Long Term Care Partners, the administrator of FLTCIP, at 

mmcnally@ltcpartners.com or 1-603-433-4543 to request materials and/or participation 

at your benefits fair. 

OTHER COMPANIES 

You may be contacted by insurance companies that do not participate in any of the Federal 

benefits programs that wish to sell other types of “supplemental” policies to Federal employees. 

These companies sometimes send marketing material and ask that you distribute it. They may 

ask to be invited to the agency’s benefit fairs or even show up uninvited. We strongly 

discourage you from assisting in the marketing efforts of these companies, including companies 

FEHB or FEDVIP carriers may have contracted with for particular benefits. You should limit 

access to your premises to plans that actually participate in FEHB or FEDVIP (i.e., those plans 

listed in the Guide to Federal Benefits) and representatives of FSAFEDS and FLTCIP. 

PLAN TERMINATIONS 

No dental or vision plans are leaving FEDVIP at the end of 2007; however, there are plans that 

will be leaving the FEHB Program at the end of 2007. 

2
In the upcoming BAL 07-405 we will inform you of plans leaving the FEHB Program or 

discontinuing a service area at the end of 2007. We strongly recommend that you distribute the 

list of terminating plans to all employees so they can check to see whether their plan will 

continue to participate in the FEHB Program in 2008. 

An employee whose plan will not participate in the FEHB Program next year must enroll in 

another plan to continue FEHB coverage in 2008. You should monitor employees who are 

covered by these terminating plans and follow up with those who have not submitted a change of 

enrollment before the end of Open Season. 

FSAFEDS 

The Federal Flexible Spending Account Program, known as FSAFEDS, is available to most 

employees in the Executive branch and employees of other agencies that have adopted the 

Program. FSAFEDS can help employees save money by allowing them to set aside pre-tax 

funds to use for eligible out-of-pocket dependent care and health care expenses. The Dependent 

Care Flexible Spending Account (DCFSA) reimburses non-medical expenses associated with the 

care of children under age 13, or dependents who are unable to care for themselves. It does not 

reimburse dependent health care expenses. The Health Care Flexible Spending Account 

(HCFSA) reimburses eligible health care expenses for the employee and his/her spouse and 

eligible dependents. The Limited Expense Health Care Flexible Spending Account (LEX 

HCFSA) is designed to reimburse eligible dental and vision expenses (only) for employees 

enrolled in or covered by a High Deductible Health Plan (HDHP) with a Health Savings Account 

(HSA). 

OPEN SEASON ACTIONS 

The effective date of FSAFEDS Open Season enrollments is January 1, 2008. Employees who 

enroll during Open Season will have from January 1, 2008, through March 15, 2009, to spend 

their annual allotment before forfeiting the funds. 

Employees must go to www.FSAFEDS.com or call SHPS at 1-877-372-3337 during Open 

Season to enroll in FSAFEDS. They cannot enroll through an agency self-service system such 

as Employee Express, EBIS, MyPay or Employee Personal Page. 

Please remind your employees: Enrollment in FSAFEDS does not carry over from year to 

year. If employees want to participate in 2008, they must make a new election. If you have any 

questions, please contact us at fsa@opm.gov. 

FEDVIP 

OPEN SEASON 

The effective date of FEDVIP Open Season enrollments, changes, or cancellations is Tuesday, 

January 1, 2008. Please note this effective date is different from the effective date of FEHB 

Open Season enrollments for most employees. 

3
FEDVIP enrollments automatically continue from year to year like FEHB enrollments. FEDVIP 

enrollments also continue when enrolled employees retire (there is no “five-year rule”). 

Employees who wish to enroll, change, or cancel their enrollment in a FEDVIP plan must do so 

by visiting the BENEFEDS website at www.BENEFEDS.com or by calling BENEFEDS at 1-

877-888-FEDS (1-877-888-3337), TTY 1-877-889-5680 during Open Season. An eligible 

employee who elects to enroll in FEDVIP must participate in premium conversion. 

Last year we allowed FEDVIP paper enrollment forms to be submitted because of unexpectedly 

high demands on the website. The website has been redesigned for ease of use and speed. 

Therefore, paper enrollment forms will not be used for FEDVIP this year, with very rare 

exceptions. If you have employees with absolutely no phone and no Internet access during all of 

Open Season, please contact us at BENEFEDSPortal@opm.gov and we can make arrangements 

for enrollments. 

 

Please Note: Employees cannot enroll, change, or cancel their enrollment in a FEDVIP plan 

using the Standard Form (SF) 2809 (Health Benefits Election Form) or through an agency selfservice system such as Employee Express, PostalEase, EBIS, MyPay or Employee Personal 

Page. However, those sites may provide a link to www.BENEFEDS.com. 

Enrolling is easy, and involves two steps. First, employees must create a BENEFEDS.com 

account by providing demographic and employment information. When this one-time step is 

complete, eligible employees/annuitants can compare plans and enroll. Employees who want to 

enroll in both a dental and vision plan must complete this second part for each plan. 

BENEFEDS estimates that it will take no more than 20 minutes to enroll. 

Please Note: Once an enrollee successfully creates a BENEFEDS.com account, he/she can 

come back at any time during Open Season to complete enrolling in a dental plan and/or vision 

plan, or to change plans without having to re-enter demographic and employment information. 

The following actions may be taken during Open Season: 

• An eligible employee who is not enrolled may enroll in FEDVIP; 

• An enrollee may change from one plan or option to another; change enrollment type 

 (self only, self plus one, or self and family); or make any combination of these changes; 

 and 

• An enrollee may cancel his/her enrollment.

Timely Actions 

The BENEFEDS.com website will “turn on” all enrollment functions by 5:00 a.m. Eastern Time 

on November 12 and “turn off” Open Season enrollment functions at 12:00 a.m. Eastern Time on 

December 11, 2007. Agencies cannot extend the Open Season. 

The BENEFEDS phone representatives can be reached by phone during Open Season from: 

4
 • 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday; and 

 • 8:00 a.m. to 8:00 p.m. Eastern Time, during the last Saturday and Sunday of this year’s 

 Open Season (December 8 and 9). 

Enrollees will receive confirmation of their Open Season enrollment from the plan(s) they 

enrolled in by January 15, 2008. 

Belated Actions 

For approved belated FEDVIP enrollments or belated changes in enrollments, the effective date 

will be retroactive to the date the enrollment or change of enrollment would have been effective 

if made timely. For example, a retroactive Open Season enrollment will be made effective back 

to January 1, 2008. BENEFEDS will begin withholding premiums prospectively from the 

enrollee’s pay and will then bill the enrollee directly for the retroactive premiums on the next 

billing cycle. If an enrollee does not pay the retroactive premiums timely, his/her enrollment 

will be cancelled retroactively as if it never existed and he/she will be responsible for repaying 

any benefits received. 

The time limit for enrolling or changing an enrollment may be extended for up to three (3) 

months after the end of Open Season, if the employee provides evidence to BENEFEDS that 

he/she was unable to enroll or change enrollment timely for circumstances beyond his/her 

control. Agencies do not make decisions on belated enrollments. BENEFEDS makes these 

decisions on behalf of the FEDVIP carriers and will only allow belated enrollments and changes 

in exceptional circumstances. 

It is critical that agencies inform employees of the deadlines for enrolling in FEDVIP. Simply 

not knowing about Open Season is not an acceptable reason for a belated enrollment. If 

BENEFEDS allows a belated enrollment or change in enrollment, the employee must enroll or 

change enrollment within 30 days after BENEFEDS notifies him/her. 

FEHB 

STANDARD FORM (SF) 2809 

This form is available as a screen-fillable Adobe Acrobat portable document format (PDF) file 

on the FEHB website at www.opm.gov/forms/pdf_fill/sf2809.pdf. Using the free downloadable 

Adobe Acrobat reader, employees may complete the form on the screen and then print it out 

already completed. However, please note that if you are using the free Acrobat reader software 

you cannot save the form with information typed on screen. You need the commercial Adobe 

Acrobat program in order to save the form with the data. 

ANNUITANT INQUIRIES 

Some annuitants who retire from your agency may contact you asking for an SF 2809. 

5
CSRS and FERS – The Office of Personnel Management (OPM) does not use the SF 2809 for 

annuitant Open Season changes for Civil Service Retirement System (CSRS) or Federal 

Employees Retirement System (FERS) annuitants. These annuitants should be directed to call 

our toll-free service, Open Season Express at 1-800-332-9798 or access Open Season Online, 

our interactive website, at www.opm.gov/retire/fehb. Instructions for using Open Season 

Express are included in the Open Season package sent to each enrolled CSRS and FERS 

annuitant before Open Season. If an annuitant loses or does not receive the package, they can 

get one by calling our Retirement Information Office in the Washington, DC metropolitan area at 

202-606-0500 or outside the Washington, DC metropolitan area at 1-88-US-OPM-RET (1-888-

767-6738). 

Those who have access to a TTY machine may call our toll-free Retirement Information Office 

TTY number at 1-800-878-5707. TTY customers within the local Washington, DC calling area 

must call us at 202-606-0551. 

Annuitants should always provide their CSA/CSF retirement claim number and/or their Social 

Security Number when communicating with OPM for any reason. 

Other retirement systems – These annuitants should contact their retirement system for the 

proper enrollment form. 

OWCP – Former employees receiving benefits from the Office of Workers’ Compensation 

Program (OWCP) should contact the OWCP office that maintains their FEHB records. 

OPEN SEASON ACTIONS 

The following actions may be taken during Open Season: 

• An eligible employee who is not enrolled may enroll in FEHB; 

• An eligible employee who enrolls in FEHB may waive participation in premium 

 conversion; participation in premium conversion is automatic; 

• An enrollee who currently participates in premium conversion may waive participation 

 or if they had previously waived premium conversion, may begin participation; 

• An enrollee may change from one plan or option to another, from self only to self and 

 family, or make any combination of these changes; and 

• An enrollee may cancel his/her enrollment. 

New enrollments and enrollment changes made in conjunction with a Qualifying Life Event 

(QLE) that occur during the Open Season period, can be made as usual between the dates of 

November 12 through December 10, 2007. However, these changes may have different effective 

dates than Open Season actions and should not be mistakenly identified as such. 

Whether an employee is enrolling or changing enrollment based on Open Season or a QLE, it is 

important that the correct event code be noted on the SF 2809 so that the correct effective date 

will be assigned. Please visit our website at www.opm.gov/insure/03/qle.asp for QLE 

information. 

6
Timely Actions 

You must receive an SF 2809 no later than close of business on December 10, 2007, for it to be 

considered timely filed as an Open Season enrollment or change. 

If you have employees enrolling or changing through Employee Express they must do so no later 

than 12:00 a.m. Eastern Time on December 11, 2007. 

Belated Actions 

You have the authority to accept late elections if you determine that an employee was unable 

to submit the election on time due to circumstances beyond the employee’s control. While we 

normally encourage you to make limited use of this authority, we recommend that you take a 

liberal view in cases where an employee’s plan is terminating its FEHB participation. 

If you decide to accept an employee’s late election, write “Belated Open Season 

enrollment/change” in the “Remarks” section of an SF 2809. You must attach to Copy 1 

(Official Personnel Folder) of the SF 2809 the employee’s statement explaining why he/she 

could not enroll or change on time or add your own note if the reason was an agency problem. 

If you decide that the delay in filing is not due to a cause beyond the employee’s control, do not 

accept the employee’s late request. You must notify the employee in writing that you are not 

approving the late enrollment. You should give the reason for your denial and include a 

statement of the employee’s right to request reconsideration within 30 days after the date of your 

notice. 

EFFECTIVE DATES 

From not enrolled to enrolled – Effective the first day of the first pay period that begins on 

or after January 1, 2008, and which follows a pay period during any part of which the employee 

was in pay status. The enrollment of a new employee who happens to elect coverage between 

November 12 through December 10, 2007 is effective the same as for all new employees, i.e., 

the first day of the first pay period after the employing office receives the SF 2809. 

Enrollment change – Effective the first day of the first pay period which begins on or after 

January 1, 2008, regardless of whether the employee was in pay status during the preceding pay 

period. 

Premium Conversion Change in Election – Effective the first day of the first pay period that 

begins on or after January 1, 2008. 

Belated Open Season enrollment action – Effective retroactive to the first day of the first pay 

period which begins on or after January 1, 2008. This effective date is the same as that of an 

Open Season change filed on time. If the belated change is from not enrolled to enrolled, the 

requirement of having been in pay status during the preceding pay period must also be met. 

Belated Open Season enrollment actions are automatically subject to premium conversion. 

Since Internal Revenue Service (IRS) rules allow for no retroactive adjustments to taxable 

7
income, the effective date of premium conversion cannot be retroactive. This means that any 

additional withholding for retroactive premiums that are due must be made with after-tax dollars. 

For an example of the impact of a belated change on taxable income, please visit

www.opm.gov/insure/health/pretaxfehb/qanda/03.asp. 

Cancellation – An Open Season cancellation is effective at the end of the day before the first 

day of the first pay period that begins in the next year. 

Outside of Open Season, employees who participate in premium conversion may only cancel 

their FEHB enrollment due to a QLE. Employees who waived participation in premium 

conversion may cancel their FEHB enrollment at any time without waiting for a QLE or an Open 

Season. 

Please remind your employees: Cancellation can have serious consequences. In order to 

continue FEHB coverage after retirement, an employee must have been covered under the FEHB 

Program continuously for the five years of service immediately before retirement or, if less than 

five years, for all periods of service during which he/she was eligible for FEHB coverage. 

If an employee is canceling his/her FEHB enrollment in order to be covered as a family member 

by a spouse’s FEHB Open Season enrollment, be sure to coordinate the effective date of the 

cancellation with the effective date of the spouse’s enrollment to prevent a break in coverage. 

Coverage under a family member’s FEHB enrollment counts towards the “five-year rule” for 

continuing coverage into retirement. 

AGENCY ACTIONS 

Prompt Processing – It is important that you process Open Season enrollments and enrollment 

changes promptly. Payroll offices should process enrollee and carrier copies of SF 2809 daily. 

You must notify gaining carriers of new enrollments so they can complete the paperwork 

necessary to provide coverage for the employee and covered family members and issue 

identification cards. 

You must notify losing carriers as soon as possible of enrollment changes or cancellations so 

they do not guarantee or provide benefits to ineligible employees or family members. 

Verification of Employee Coverage – Employees become concerned when they do not receive 

their identification cards from a new plan within a short time after the end of Open Season. If an 

employee asks you about this, you should contact the payroll office to determine when the 

carrier was notified of the change. If more than three weeks have passed since the payroll office 

sent the SF 2809 to the carrier, contact the carrier to determine the reason for the delay and relay 

the employee’s request for identification cards. 

An employee may need verification of coverage under his/her plan before the carrier processes 

the enrollment or enrollment change. You should verify that the employee is covered under the 

plan and inform the requesting party (e.g., carrier, doctor, hospital) of the effective date of the 

coverage. You should also remind employees that their copy of the SF 2809 is acceptable as 

8
proof of enrollment until they receive their identification cards from the plan. 

Employees who make Open Season changes electronically via Employee Express and who do 

not 

receive new identification cards by the effective date of the change may obtain a letter 

confirming their coverage by calling the Employee Express Help Desk at 1-478-757-3030 or at 

1-888-353-9450 or by requesting your help. 

Enrollment Reconciliations

The large number of enrollment actions taken during Open Season increases the chance of errors 

by agencies or by carriers in updating records. Any errors will be identified as discrepancies 

through the Centralized Enrollment Reconciliation Clearinghouse System (CLER) during the 

March 2008 reconciliation cycle. It is very important that agencies work with the carriers to 

correct these discrepancies. 

Please be sure that copies of the SF 2809 are sent to both the gaining and losing carriers. In 

many cases, the SF 2809 is only sent to the gaining carrier. This results in the losing carrier not 

terminating the enrollment and continuing to expect premiums to be paid for the person(s) in that 

enrollment that the losing carrier is no longer covering. 

The reconciliation process is critical to ensure that carriers receive the proper premium payments 

and that enrollees are properly reflected on the carriers’ records. 

CONCLUSION 

We look forward to working with you in the upcoming Federal Benefits Open Season for 

enrollment for the 2008 plan year. We encourage you and your employees to visit our website at 

www.opm.gov/insure. 

Sincerely, 

 Howard Weizmann 

 Deputy Director 

 

9