Retirees to Pay New Fees for Tricare Select

Retirees to Pay New Fees for Tricare Select

Photo by: Architect of the Capitol

Most working-age military retirees will start paying monthly enrollment fees for Tricare Select health care coverage beginning Jan. 1, the first time this group of beneficiaries will be charged such fees.

The change, mandated in the 2017 National Defense Authorization Act, affects Group A retirees, whose initial enlistment or appointment occurred before Jan. 1, 2018, and their beneficiaries. 

Those affected by this change must set up a monthly allotment through their DoD pay center or via electronic funds transfer, credit card or debit card.

Individual enrollment fees are $12.50 a month or $150 a year. Retirees on a family plan pay $25 a month or $300 a year. Enrollment fees are waived for active-duty family members, survivors or medically retired retirees or family members, according to Tricare.

Additionally, the catastrophic cap will increase from $3,000 to $3,500; the enrollment fees will apply toward the catastrophic cap.

The Association of the U.S. Army has worked alongside The Military Coalition, a consortium of 34 military, veterans’ and uniformed services organizations representing more than 5.5 million members, on this and other benefits issues for several years on Capitol Hill.

The groups’ collective effort resulted in Congress delaying implementation of the new Tricare Select fees for three years, to 2021; a lower catastrophic cap increase; no enrollment fee for Tricare For Life beneficiaries; and lower future increases to expenses and fees.

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