Weekly newsletter of the Fleet Reserve Association
January 5 2018


In this issue:
New TRICARE Fees
TRICARE Changes Causes Glitch for Some Retirees
Bill to Reduce Obstacles for Vets and Active Duty Commercial Driver's Licenses Passes


New TRICARE Fees
Despite FRA Legislative Team efforts, the final National Defense Authorization Act (NDAA-H.R.2810-Public Law 115-91) included pharmacy copay increases. Effective February 1, 2018, beneficiaries will see increases in their cost shares across all medication tiers, which will save the Department of Defense (DoD) more than $2.1 billion by 2022, and fund improvements in military readiness and the Special Survivor Indemnity Allowance (SSIA). Most of the increases will be through the retail pharmacy sector, but beneficiaries can still obtain medications at Military Treatment Facilities (MTF) pharmacies for free.

Costs for TRICARE benefits will be charged by Calendar Year (January 1 – December 31) instead of (October 1 – September 30). The new fees will include mail-order generic prescriptions as well. These costs will gradually increase until 2026, when costs will be $14 for a 30-day supply of a generic medication at a retail pharmacy and a 90-day supply by mail. Further, a 30-day supply of a non-generic medication at a retail pharmacy will be $48 and a 90-day supply by mail will cost $44.

Additionally, outside of the NDAA provision, the DHA has implemented a regulation that provides for a new TRICARE fee structure that will be applied to the new TRICARE Select option that replaced TRICARE Standard. Increased fees also will apply to the existing TRICARE Prime option. Beneficiaries can view these changes by clicking here.

TRICARE Changes Causes Glitch for Some Retirees
As a result of contractor changes effective January 1, 2018, some TRICARE Prime retirees in northern states (approximately 4,000) did not get charged for their annual enrollment fee. TRICARE-for-Life (TFL) beneficiaries are NOT impacted by this glitch. As previously reported in Newsbytes, starting January 1, 2018, TRICARE's beneficiaries in the United States will be covered by two regions—TRICARE East and West—instead of three. The mistake occurred as Humana Military, the new East region contractor, moved TRICARE North users into its system. Retired TRICARE Prime users pay an annual enrollment fee. Starting January 1, 2018, those fees are $289.08 for a single user or $578.16 for a family. Retirees can select to pay their annual enrollment fee as monthly payments through allotments—$24.09 for a single user or $48.18 for a family—or as the single lump sum. Because of the new change from a fiscal to calendar year system, that lump sum payment is now due in January.

For most TRICARE Prime retirees, payments were automatically redirected to the TRICARE North contractor, HealthNet and sent to Humana. However, 4,053 Prime beneficiaries in the former North region were not included in the data file sent to the new contractor in the East region. This error was discovered during the transition reconciliation process.

The Humana website states, "If you received a notice about making automatic payments through a credit card or bank fund transfer and are currently using allotment for payment, please disregard the notification, we appreciate your patience and apologize for any confusion this may have caused."

TRICARE officials said retirees should be able to see whether or not they are among the impacted users by checking their January paycheck for the missed allotment.

"Humana will be sending letters to those impacted users asking for a one-time payment of the missed amount," said TRICARE officials. It can be paid by calling Humana at 1-800-444-5445 or by clicking here.

Bill Passed to Reduce Obstacles for Vets and Active Duty Commercial Driver's Licenses
On the last day of session for calendar year 2017, Sen. John Cornyn (Tex.) praised the House passage of the "Jobs for Our Heroes Act" (S.1393). A bill he sponsored that was championed in the House by Rep. Rob Woodall (Ga.) to reduce barriers for active-duty military, reservists and veterans applying for Commercial Driver's Licenses (CDLs). The bill would streamline the application process to these applicants. There is currently a shortage of CDL drivers and this bill is intended to speed up the process to fill these vacancies. Additionally, it would allow states to permanently waive license requirements for current service members and Reserve Component members, if they have military experience driving a comparable vehicle. The bill goes to President Trump, who is expected to sign it into law.

 

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NewsBytes is FRA's weekly legislative update. If you received this through a forward and would like to subscribe, please e-mail us  and include your name and contact information in the body of e-mail. If you are a member of FRA or LA FRA, please include your member number.

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