Research - Rehabilitation - Re-Employment

Sgt. Shaft 09/04/2000

Dear Sgt. Shaft:
One of the key military people issues being debated by House and Senate conferees on the 2001 Defense Authorization Bill is a health care amendment sponsored by Senator John Warner (R-VA). If approved, it would allow military retirees to participate in TRICARE Prime -- the military's HMO program -- or to use TRICARE Standard (the DoD fee-for-service plan) as second payer to Medicare.

This would be a major breakthrough because current military retirees are disengaged from TRICARE involuntarily when they reach 65 and become eligible for Medicare. More importantly, they correctly believe that their government has broken its promise to provide them military medical care for life. This breach of faith is having an adverse impact on the Services recruiting goals and readiness.

For years, the military associations have been pursuing health care equity options. The top priorities have been to allow retirees to continue to receive care in military facilities through a TRICARE HMO option or by enrolling in the Federal Employees Health Benefits Program (FEHBP), the same plan available to every other federal employee.

We at The Retired Officers Association (TROA) often receive questions asking the difference between TRICARE and FEHBP for Medicare eligibles. The answer is that there is not much difference, provided the Warner plan is enacted, and made permanent. The following provides a side by side comparison of the Warner Amendment and FEHBP (using the Blue Cross and Blue Shield Standard -- the most popular plan with federal retirees):

• Annual enrollment fee: TRICARE none; FEHBP $781 single; $1,736 family in 2000. These rates will increase by about 16% by 2002.

• Pay full Medicare co pay and excess charges up to 115% of the Medicare allowable (the maximum allowed by law): Yes for both programs.

• Skilled nursing home care, home health care and hospice care: Yes, for both programs.

• Care while traveling outside of US: Yes, for both programs, with standard co pays.

• Coverage for retirees residing overseas: No for TRICARE; Yes for FEHBP with standard co-payments.

• Mail order and retail prescription drug coverage: Yes for both programs, but TRICARE is less expensive. For mail order services, TRICARE's co pay is $8 for a 90 day supply compared to $10 for generic drugs and $20 for name brand drugs under FEHBP. For retail pharmacy services, TRICARE's copay is 20 percent for network pharmacies and 25 percent in non-network pharmacies, while FEHBP has a 25 percent and 45 percent co pay for network and non-network pharmacies, respectively.

In addition, a significant advantage of the Warner Amendment is that it is premium-free for all retires and not just for those who entered service before June 7, 1956, when the Civilian Health Maintenance Program of the US (CHAMPUS) was enacted.

TROA is aware that some beneficiaries are apprehensive about the Warner Amendment in large part because they don't like, or have had bad experiences with, TRICARE. TRICARE has many problems that need to be fixed, and TROA and the other members of The Military Coalition have been pursuing these changes with vigor for the benefit of active and retired families.

However, under the Warner provisions, TRICARE is not the dominant factor. What's important is Medicare, and with 93 percent of the providers nationwide accepting Medicare patients, enrollees have great selectivity.

TROA also supports the choice of FEHBP for all military retirees and will continue to lobby for needed legislation until this goal is achieved.

We hope our snapshot look at the two programs will help your readers.

Lt. Gen. Michael A. Nelson, USAF-Ret.
President, The Retired Officers Association

Dear General Nelson:
It is unfortunate that military retirees over age 65 and other military retirees must take out their calculators in order to decipher the benefits they were publicly promised and richly deserve. In plain math, 100 percent payment for military service unselfishly rendered plus 100 percent for one's payment into Medicare simply adds up to 200 percent of health care. One does not need to finger their abacus to recognize that military retirees and other veterans are getting shafted. As Senator Max Cleland has so eloquently reminded our citizenry, "Poor is the nation which has no heroes. Poorer still is the nation which has them, but forgets."

Dear Sgt. Shaft:
In your Washington Times column of August 7, 2000, you carried an item with respect to obtaining a Vetsignia window sticker, indicating a person's status as a veteran. I am a veteran of World War II and am proud of it. I served with the U.S. Army on Guadalcanal, in the invasion of the Philippines, and with the occupation forces in Japan until January 1946.

In your column you indicated that a veteran could obtain a Vetsignia sticker by accessing a particular web site on the Internet. Unfortunately, not all of us are computer literate nor have access to the Internet. Thus, I am asking you if this item can be obtained through regular mail channels. I would appreciate it if you could provide me and other readers with this information. The ranks of the WWII veterans are rapidly being decimated and I would like the world to know that I am a WWII veteran and proud to publicize it.

Carl B.
Fairfax, VA

Dear Carl:
You can write to Bob Kline, Box 382, Blue Bell, PA 19422, or call him at 610-277-1171. These attractive, inexpensive window stickers help fellow veterans gain visibility in their communities on more than just a few special holidays. The 33 different stickers recognize service in WWII, Korea, Vietnam, the Persian Gulf, Overseas Expeditionary Campaigns, Peacetime, and the services: Army, Navy, Marines, Air Force, Coast Guard, and Merchant Marine. Kline says the stickers can viewed via the Internet at http://www.wat3.com/vetsignia. Some Internet users previously trying to view the site may have encountered trouble, but Bob says everything should be accessible.

Send letters to Sgt. Shaft, c/o John Fales, P.O. Box 65900, Washington, D.C. 20035-5900; fax to 301-622-3330; call 202-462-4430 or email sgtshaft@bavf.org.

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