Title: Planning for Your Retirement
Speaker(s): Announcer
Date: July 25, 2023
Length: 6 minutes, 48 seconds


Visual:
Blue How To
Planning for Your Retirement
Brought to you by 
BlueCross BlueShield
Federal Employee Program 
fepblue.org


Visual:
On screen text: Preparing for retirement?


Visual:
Animation of an old family photo with parents and their child, who is wearing glasses. The father is holding a card.


Announcer: 
Since 1960, the Blue Cross and Blue Shield Federal Employee Program, or simply FEP, has been committed to providing federal employees and retirees with the quality health insurance they need.


Visual:
Close up of the FEP card held by the father.
Animation of a federal employee ready to retire, holding a FEP member ID card, and accompanied by a FEP employee.


Announcer:
We also want to make sure you have a happy and healthy retirement by helping you prepare for what's next. 


Visual: Creating a Plan.
Animation of the federal employee celebrating her retirement.


Announcer:
After years of working hard, retirement is a good time to focus on doing the things you enjoy, like developing a new hobby, traveling, spending more time with family and friends, continuing your education, and focusing on your health and well-being. 


Visual:
Animation of the newly retired woman being surrounded by a guitar, a suitcase, a little girl, a desk with a laptop, and a yoga mat with dumbbells.


Announcer:
Knowing how you want to spend your retirement can help you better plan for the future. 


Visual:
On screen text: Retirement Planning.
Animation of the woman holding her FEP member ID card, with on-screen text listing the points mentioned.


Announcer:
Here are a few tips to help you plan for retirement. One -- start thinking about your retirement at least five years in advance. Two -- don't plan by yourself. If you're married or in a relationship, discuss your plans with your significant other. Three -- know your individual options. Everyone's retirement needs and plans are different. Four -- take inventory of your financial assets. Five -- evaluate your health needs. 


Visual:
Focus on the last point, Evaluate your health needs, with images of a network, a globe, and prescription drugs.


Announcer:
When it comes to evaluating your health needs, consider what matters most. How important is a large network of providers, overseas coverage, and prescription drug coverage? The other thing to consider is cost. 


Visual:
Animation of a wallet.


Announcer:
How much are you willing to pay for your healthcare coverage? We can help you figure it out. 


Visual:
On screen text: Understanding Your Benefit Options.
Animation of the federal employee working at her desk, and then walking out.


Announcer:
One of the best things about being a federal employee is that you can take many of your healthcare benefits into retirement. 


Visual:
On screen text: Federal Employees Health Benefits Program (FEHB)
Federal Employees Dental and Vision Insurance Program (FEDVIP)
Federal Long-Term Care Insurance Program (FLTCIP)
Federal Employees’ Group Life Insurance Program (FEGLI)


Announcer:
Ultimately, when it comes to your health and your health insurance, the decisions are up to you, but we're here to help. 


Visual:
Animation of the woman holding her FEP member ID card with a concerned look, then smiling.


Announcer:
If you keep your FEHB coverage when you retire, you get the same benefits you get now as an active employee. And as long as you never cancel your insurance, you'll have the same coverage throughout your retirement. 


Visual:
On screen text: The Five-Year Rule.
Animation of a FEHB member ID card.


Announcer:
All federal employees are entitled to retire on an immediate annuity under a retirement system for civilian employees. You're eligible to keep your medical coverage if you've had five years of continuous enrollment in the FEHB before your annuity starts and have not converted to an individual policy. 


Visual:
Animation of five calendars piling up and a checkmark.


Announcer:
This is known as the five-year rule. 


Visual:
Animation of a pie chart illustrating the numbers mentioned.


Announcer:
The federal government will continue to pay a portion of your FEHB monthly premium. They'll pay about 70% of the cost, and you'll pay the rest. If you do choose to cancel your insurance, you'll never be able to re-enroll in the FEHB program. 


Visual:
Animation of a cross striking through a FEHB member ID card.


Visual:
On screen text: What’s Medicare?


Announcer:
Let's talk about Medicare. Medicare is a health-insurance program provided by the U.S. government. 


Visual:
Illustration of the U.S. Capitol, with on-screen text listing what is mentioned.


Announcer:
It's available to individuals 65 and older, people with certain disabilities, and people with end-stage renal disease. When you retire, Medicare is usually your primary health coverage. 


Visual:
On screen text: Parts of Medicare.


Announcer:
You probably heard Medicare has different parts, but what are they? 


Visual:
On screen text lists the four parts, with the illustration of a hospital for part A, a stethoscope for part B, an umbrella for part C, and an Rx logo for part D.


Announcer:
Medicare Part A is hospital insurance. It covers inpatient, skilled nursing facility, home health, and hospice care. Part A is free for most people. Medicare Part B is medical insurance. It covers doctors' visits, outpatient services, X-rays and lab tests, durable medical equipment, preventive services, physical and occupational therapy, and other services not covered by Part A. There's a standard premium for Part B based on your income. Medicare Part C is a Medicare Advantage Plan. This is private health insurance that provides Part A and Part B coverage -- it may also cover things that Part A and B don't cover. Premiums vary by health insurer. Medicare Part D is prescription drug coverage. Like Part C, premiums vary by drug plan. 


Visual:
Animation of the retiring woman smiling, with the on-screen text: Enrolling in Medicare is a choice.


Announcer:
Enrolling in Medicare is a choice -- you're not required to sign up, but doing so might be beneficial to your future health needs. 


Visual:
On screen text: When are you eligible?
Animation of a birthday cake with candles in the shape of a 6 and a 5.


Announcer:
You can't enroll in Medicare until you're eligible. For most people, the initial eligibility period begins three months before your 65th birthday and ends three months after your 65th birthday. 


Visual:
Animation of three calendars appearing on one side of the cake, and three calendars appearing on the other side.
Animation of a calendar with one circled date and all dates after that crossed out.


Announcer:
If you don't sign up for Medicare Part B when you're first eligible, you can sign up later, but you may pay a late enrollment penalty. 


Visual:
On screen text: Late Enrollment Penalty.
Animation of an up arrow and a 10% above a FEHB member ID card, and a calendar with flipped pages.




Announcer:
This is a 10% premium increase for each year you delay enrollment. The penalty doesn't apply if you or your spouse are still actively working during the initial eligibility period and you choose to keep your employer sponsored-health coverage. 


Visual:
On screen text: Combining FEHB and Medicare.
Animation of the retiring woman holding two health insurance cards.


Announcer:
Something you might want to consider for retirement is choosing to combine your FEHB coverage with Medicare Part A and B. Both provide great benefits separately, but combining them can give you even more. 


Visual:
On screen text: Closing Medicare Gaps.
Animation of a bar illustrating how much is covered and by what.


Announcer:
While Medicare Part A and B cover a lot, they don't cover everything. These gaps include prescriptions, hearing aids, dental care, and overseas care. Your FEHB plan may cover many of these services. 


Visual:
On screen text: Reduced Out-of-Pocket Costs.
Animation of a FEHB card and a Medicare card, along with dollar signs.


Announcer:
Many FEHB plans waive or reduce deductibles and copays when Medicare is your primary coverage. 


Visual:
On screen text: Premiums.
Animation of a FEHP card and a medical bill.


Announcer:
Some FEHB plans also have special benefits or programs that can help members pay for a portion of their Part B premiums. 


Visual:
On screen text: Part C and D
Animation of a FEHP card, and a Medicare card with its four parts listed underneath.


Announcer:
If you decide to keep your FEHB coverage, you don't need to sign up for Part C. 


Visual:
Part C is crossed off the list. Focus on Part D.


Announcer:
But what about Part D? With your Blue Cross and Blue Shield Service Benefit Plan coverage, you can get a Medicare Part D plan if you’re also enrolled in Medicare Part A and/or Part B, called the FEP Medicare Prescription Drug Program.


Visual:
On screen text: FEP Medicare Prescription Drug Program.


Announcer:
Through this program, you receive lower out-of-pocket costs for higher cost drugs, and more approved prescription drugs, all as part of your FEP premium.


Visual:
Animation of a prescription drug bottle with a tag that goes from having two dollar signs to one dollar sign, and a formulary with items checked with a green check mark.


Announcer:
To learn more, visit fepblue.org/medicarerx


Visual:
On screen text: Dental and Vision.


Announcer:
Something else to think about is that Medicare Part A and B do not cover dental and vision care. That's why enrolling in a FEDVIP dental or vision plan could be a smart decision for you.


Visual:
On screen text: Medicare and Blue.


Announcer:
As we mentioned before, your healthcare benefits don't change after you retire. 


Visual:
Animation of the retiring woman presenting her FEP Blue member ID card to a medical receptionist.


Announcer:
If you're a member of the Blue Cross and Blue Shield Service Benefit Plan, you get access to the great benefits you rely on now, including worldwide coverage, a large network of Preferred Providers, wellness rewards, and discounts. And you can still choose from one of our three plan options, FEP Blue Focus, Basic Option, and Standard Option. But if you decide to combine your coverage with Medicare Part A and B, you get even more great benefits.


Visual:
Animation of the FEHB and Medicare cards. On screen text: copays, coinsurance, deductibles. The three words are being crossed out.


Announcer:
We'll waive your copays, coinsurance, and deductibles for covered services.


Visual:
On screen text: Basic Option.
Animation of a package with prescription drugs, and an envelope with a check.


Announcer:
If you're a Basic Option member, you get access to our Mail Service Pharmacy Program and get a reimbursement on your Part B premiums. 


Visual:
On screen text: Basic Option, Standard Option.
Animation of two out of three dollar signs being crossed out on a prescription drug bottle’s tag.


Announcer:
Basic and Standard Option members get reduced copays for certain prescription drugs.


Visual:
Animation of the retiring woman sitting at a table calculating costs.
On screen text: Service Benefit Plan premium
+ Medicare Part B premium


Announcer:
If you do decide to combine coverage, you'll pay your Service Benefit Plan premium plus your Medicare Part B premium. While this may seem like a lot, if you calculate the cost of both premiums, the overall cost can be lower than your medical costs, especially any unexpected ones that may come up as your health needs change throughout retirement. 


Visual: Animation of the FEHB and Medicare cards.
On screen text: fepblue.org/medicare


Announcer:
To see all the ways the Service Benefit Plan and Medicare work together, visit fepblue.org/medicare. 


Visual:
Animation of the retiring woman sitting on her couch and talking on the phone, while a little girl runs across the living room.


Announcer:
We know there's a lot to think about before you retire. If you have more questions, you can reach out to these organizations to learn more.


Visual:
On screen text: Medicare, Social Security, OPM, NARFE.


Announcer:
And as always, you can count on FEP to be with you every step of the way.


Visual:
Blue How To
Planning for Your Retirement


End credits:
Brought to you by 
BlueCross BlueShield
Federal Employee Program 
fepblue.org