Key Takeaways:
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Skipping FEHB Open Season can lead to significantly higher healthcare costs and missed savings opportunities, especially as premiums and benefits adjust every year.
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Reviewing your options during Open Season ensures you have the best plan for your needs, avoiding unexpected out-of-pocket expenses in retirement.
Why Ignoring FEHB Open Season Can Be a Costly Mistake
FEHB Open Season runs from November 11 to December 9, 2025, and it’s your once-a-year opportunity to make changes to your Federal Employees Health Benefits (FEHB) plan. Many federal employees and retirees assume their current plan remains the best choice without reviewing their options. However, failing to reassess your healthcare plan could lead to
higher costs, reduced benefits, and unnecessary financial strain. Here’s why Open Season is so important and how ignoring it could cost you in the long run.
1. Annual Plan Changes Can Increase Your Costs Without You Noticing
Many federal employees and retirees assume that keeping their current plan means maintaining the same benefits and costs. However, FEHB plans undergo annual changes, including adjustments to:
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Premiums – Your plan’s cost can increase significantly, sometimes more than expected.
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Deductibles and Copayments – Out-of-pocket expenses for services and prescriptions may rise.
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Provider Networks – Your doctor, preferred specialist, or hospital may no longer be in-network.
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Covered Services – Benefits can be added or removed, affecting your coverage.
By failing to review these updates, you may unknowingly pay more for reduced coverage. Some retirees who rely on FEHB alongside Medicare Part B may see changes in cost-sharing structures that affect their monthly expenses.
Additionally, certain plans introduce new wellness programs and benefits each year. Some might offer incentives like free preventive care visits, telemedicine services, or discounted prescriptions. If you don’t review these new additions, you could be missing out on potential cost savings and enhanced benefits that could improve your healthcare experience.
2. You Could Overlook a Better Plan That Saves You Money
The FEHB program provides a wide range of plan options, including:
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Fee-for-Service (FFS) Plans
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Health Maintenance Organizations (HMOs)
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Consumer-Driven and High-Deductible Health Plans (CDHPs & HDHPs)
Each type of plan offers unique benefits, and new options become available every year. By not comparing plans, you may end up in one that no longer suits your needs. Here are a few scenarios where switching plans could be beneficial:
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If you’ve recently developed a chronic condition, a plan with stronger specialist coverage may be a better fit.
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If you anticipate higher prescription costs, a plan with lower drug copays and improved pharmacy benefits might save you money.
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If you’re retiring soon, a plan that coordinates better with Medicare could lower your out-of-pocket costs significantly.
Some FEHB plans also provide additional perks, such as vision and dental coverage, enhanced mental health support, and wellness incentives. Ignoring Open Season means you may miss out on better benefits and potential savings simply because you didn’t take the time to compare options.
3. Retirees Risk Unexpected Out-of-Pocket Expenses
For retirees, failing to review your FEHB options can be even more costly. While FEHB remains available after retirement, its interaction with Medicare and other coverage can affect your costs dramatically. Here’s why:
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Medicare Coordination – Some FEHB plans coordinate more effectively with Medicare Part B, reducing what you pay for services.
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Premiums vs. Benefits – Some plans offer lower premiums but higher deductibles, while others provide more comprehensive benefits for a slightly higher monthly cost.
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Prescription Drug Coverage – Some FEHB plans include prescription drug benefits that complement Medicare Part D, helping lower medication expenses.
Choosing the wrong plan—or failing to reassess your current one—could lead to unexpected expenses in retirement, making healthcare costs harder to manage.
Additionally, some FEHB plans provide coverage for long-term care services, home health care, or rehabilitation services, which could be essential as you age. Ignoring Open Season could mean missing out on coverage that supports your long-term financial security and health needs.
4. Major Life Changes May Affect Your Coverage Needs
Your healthcare needs change over time, and major life events can affect your ideal FEHB plan choice. If any of the following have occurred, it’s essential to reassess your plan:
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Marriage or Divorce – You may need to adjust from a Self Only to a Self Plus One or Self and Family plan—or vice versa.
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Birth or Adoption – If you’ve added a new family member, ensuring they have the right healthcare coverage is essential.
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Aging Out of Coverage – Children become ineligible for FEHB at age 26, meaning you may need to change your plan.
Failing to adjust your plan accordingly could leave you paying for coverage you don’t need or missing out on necessary benefits for dependents.
Additionally, if your spouse has employer-sponsored insurance, you should compare FEHB benefits with their plan. Some couples find that switching between individual coverage and family plans based on employer benefits saves thousands of dollars annually.
Taking Action During Open Season Ensures Smarter Healthcare Choices
To maximize your FEHB benefits, follow these steps during Open Season:
1. Review Your Current Plan
Check your plan’s premium increases, coverage adjustments, and out-of-pocket costs for 2026. If there are significant increases or reduced benefits, it’s time to consider other options.
2. Compare Available Plans
Use the FEHB plan comparison tool on the OPM website to evaluate different plans based on:
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Monthly premiums
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Deductibles and copays
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Provider networks
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Prescription drug benefits
3. Consider Your Future Healthcare Needs
Think about any planned surgeries, prescription needs, or medical treatments for the upcoming year. A plan that seems adequate now may not be the best fit later.
4. Enroll or Change Plans Before the Deadline
Once Open Season ends on December 9, 2025, you’re locked into your current plan unless you experience a Qualifying Life Event. Making changes now ensures you’re prepared for any upcoming healthcare needs.
Making Smart FEHB Choices to Secure Your Financial Future
Failing to review your FEHB plan during Open Season could leave you with higher healthcare costs, reduced coverage, and fewer provider options. Because premiums and benefits change each year, taking time to compare your options ensures you get the best value from your plan.
If you’re unsure about which FEHB plan suits your needs best, speaking with a licensed agent listed on this website can help you navigate your choices and find a plan that aligns with your healthcare and financial goals.
