New Year, New TRICARE Fees

Two TRICARE programs will see cost increases for 2016.

The chart below shows how much various copays will change on Feb 1 under the TRICARE pharmacy program, as required by the FY2016 Defense Authorization Act.

2016 TRICARE Rx Rates

TRICARE is taking center stage this year, with Congress promising reform.

MOAA will continue to focus on ensuring any TRICARE reform sustains top-quality care. Any fee-adjustment formula must recognize that military beneficiaries prepay very large premiums for their lifetime coverage through decades of service and sacrifice.

TRICARE Young Adult (TYA) - the Military Health System's benefit plan which covers adult children between the ages of 21 and 26 - increased premiums as of January 1.

The following chart shows the new rates, and the (hefty) percentage increase.

2016 Jan 8 Update

The TYA program is required to charge its young adult beneficiaries premiums that cover the full government cost of coverage. Unlike most other insurance plans in the country, TYA is legally not able to spread its costs over the larger pool of insured beneficiaries.

This year's premiums represent - for the first time - the actual cost of providing care to the TYA population. The result for military families, many with more than one child who needs coverage, is that they are paying much more than their civilian counterparts.

MOAA will be seeking ways to ease this increasingly unfair cost burden.

 

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