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Washington, D.C. —In 2011 federal employees and retirees will see an average 7.2 percent increase in health insurance premiums and implementation of extended coverage of children up to age 26, a provision won with the strong support of the National Treasury Employees Union (NTEU).

“While we are disappointed that insurance carriers are once again raising premiums, the increase is below last year’s 8.8 percent hike and below predicted increases of up to 10.5 percent in the private sector,” said NTEU President Colleen M. Kelley. “It is important for enrollees to closely examine their current coverage and consider any changes that may be needed during the upcoming open season.” Federal Employees Health Benefits Program (FEHBP) open season runs from Nov. 8 through Dec. 13.

The Office of Personnel Management (OPM) announced the employee share of the cost for those covered by the Blue Cross/Blue Shield standard plan, the FEHBP’s most popular program, will rise by 6.9 percent for self-only coverage and 7.6 percent for family coverage. The majority of FEHBP’s more than 8 million participants are covered by the Blue Cross/Blue Shield plans.

One of the most significant changes in 2011 is the extension of coverage to young adult dependents to age 26 on their parents’ health care plans; dependent children who lost coverage after they turned 22 can be added back on the plans effective January 1.

“It was a longstanding effort on the part of NTEU to secure this extension, which is a critical issue for many NTEU members and other federal employees. I am pleased to see that work come to fruition and provide coverage to federal employees’ children who may have otherwise slipped through the cracks of the health system,” President Kelley said.

Additionally, OPM announced preventive care and screening will be available with no out-of-pocket costs for enrollees.

“While NTEU is very pleased that the positive changes we worked for will soon go into effect, we believe that FEHBP costs and premium increases are too high,” Kelley said. “NTEU continues to work to bring program costs down by supporting legislation to reform the drug pricing process that drives up costs for federal employees. We are committed to finding solutions such as this to reduce premiums.”

NTEU supports legislation such as H.R. 4489, advanced by Rep. Stephen Lynch (D-Mass.), which would reform the current drug pricing process.

As the largest independent federal union, NTEU represents 150,000 employees in 31 agencies and departments.