Key Takeaways

• Your existing FEGLI and FEDVIP coverage stays in place with the PSHB transition in 2025—no automatic changes or disruptions.

• You can still manage, keep, or change your FEGLI and FEDVIP elections separately from PSHB during Open Season or when you experience a qualifying life event.

What the PSHB Transition Actually Means for You

If you’re a United States Postal Service (USPS) retiree or employee, you’ve likely heard a lot about the Postal Service Health Benefits (PSHB) Program rolling out in 2025. It’s a major shift from the Federal Employees Health Benefits (FEHB) Program, designed specifically for USPS workers and retirees. While it brings some new processes—like automatic enrollment and Medicare Part B coordination—many of your existing federal benefits remain untouched.

Specifically, the PSHB transition does not affect two other key federal benefits: the Federal Employees’ Group Life Insurance (FEGLI) and the Federal Employees Dental and Vision Insurance Program (FEDVIP). If you currently have coverage through either of these programs, nothing changes unless you decide to make a change.

FEGLI Remains a Standalone Federal Benefit

The FEGLI program has always operated independently of health insurance, and that doesn’t change in 2025. If you’ve carried FEGLI into retirement or you’re still an active USPS employee, here’s what you need to know:

Your Coverage Stays Intact

• Existing FEGLI policies continue with no interruption.

• There’s no automatic change, cancellation, or transfer of coverage.

• You don’t need to re-enroll in FEGLI because of PSHB.

Managing Your FEGLI Coverage

You still manage your FEGLI elections through the Office of Personnel Management (OPM), not through the PSHB system. You can:

• Reduce or cancel coverage at any time.

• Increase coverage only during a FEGLI Open Season (which happens rarely) or with proof of a qualifying life event.

Premiums and Cost Considerations

For retirees, FEGLI premiums typically rise every five years as you age. The most significant increases occur after age 65, especially if you’re carrying optional coverage. This cost trend continues unchanged under PSHB.

FEDVIP: Still Your Dental and Vision Hub

The Federal Employees Dental and Vision Insurance Program (FEDVIP) also remains separate from the new PSHB program. That means your FEDVIP plan stays exactly as it is—unless you choose to make changes.

No Integration With PSHB

FEDVIP plans are not bundled with PSHB in any way. Here’s how it works:

• If you’re already enrolled in FEDVIP, nothing changes.

• You will not be automatically enrolled, dropped, or switched.

• FEDVIP premiums continue to be deducted from your paycheck or retirement annuity as they were before.

Making Changes to FEDVIP

You still have full control over your FEDVIP enrollment:

• Use the annual Open Season, typically held from mid-November to mid-December, to enroll or make changes.

• You can also update your FEDVIP coverage during a qualifying life event.

Eligibility Stays the Same

FEDVIP eligibility hasn’t changed. USPS employees and annuitants remain eligible to participate. However, if you’re a former spouse of a federal employee or annuitant, you’re not eligible for FEDVIP, just as was the case under FEHB.

How PSHB Coordinates With Medicare, but Not FEGLI or FEDVIP

A lot of the buzz around PSHB in 2025 is about Medicare Part B requirements. While this is an important issue for Medicare-eligible Postal retirees, it doesn’t spill over into your other benefits.

Medicare Part B Requirement Only Affects PSHB

• If you’re a USPS annuitant or a family member who’s Medicare-eligible, you may be required to enroll in Medicare Part B to keep PSHB coverage.

• This requirement does not apply to FEGLI or FEDVIP.

• Even if you opt out of Medicare Part B, your life and vision/dental benefits are not impacted.

You Still Pay Separate Premiums

• PSHB, FEDVIP, and FEGLI all have separate premium structures.

• Each is deducted separately from your retirement annuity or paycheck.

• Being enrolled in one doesn’t affect the cost or eligibility of the others.

Timeline of Key Events in the PSHB Rollout

The rollout of PSHB has some important milestones, but again, these don’t touch your FEGLI or FEDVIP plans. Here’s a breakdown:

• April to September 2024: Special Enrollment Period for Medicare Part B (for those newly required to enroll).

• November to December 2024: PSHB Open Season. This was the first opportunity for active USPS employees and annuitants to select a PSHB plan.

• January 1, 2025: PSHB coverage officially begins for those enrolled during Open Season.

• Ongoing: FEGLI and FEDVIP continue under their usual rules and schedules. No re-enrollment needed.

Where to Manage Each Benefit in 2025

It’s easy to get confused with all the platforms. Here’s where you go to take care of each type of benefit:

• PSHB:

  • Active Employees: LiteBlue portal

  • Annuitants: KeepingPosted.org or OPM Services

• FEGLI:

  • Managed through the Office of Personnel Management (OPM)

  • Changes submitted via SF 2817 or relevant OPM forms

• FEDVIP:

  • Managed through BENEFEDS.com

  • Includes dental and vision plan selection, enrollment, and premium payments

Open Season Rules Still Apply Separately

Just because you’re enrolling in PSHB during Open Season doesn’t mean it affects your other benefits. FEGLI and FEDVIP still follow their own rules and schedules:

• FEGLI: No regular Open Season. Rarely held. Most changes require a qualifying life event.

• FEDVIP: Open Season usually runs from mid-November to mid-December.

• PSHB: Uses the same timeframe as FEDVIP but remains a separate process.

Don’t Mix Up the Enrollment Systems

It’s a common misunderstanding in 2025 that everything is now managed through PSHB. That’s not the case. Here’s a simple breakdown:

• PSHB: For your main medical insurance

• FEDVIP: For dental and vision

• FEGLI: For life insurance

They each have:

• Separate websites

• Different Open Season timelines (especially FEGLI)

• Independent premium deductions

• Unique eligibility and change rules

Why Keeping Your Other Benefits Separate Still Matters

The independence of FEGLI and FEDVIP gives you added flexibility. It allows you to:

• Drop or change life insurance without affecting your health or vision plans

• Keep dental and vision coverage even if you change or opt out of a PSHB plan

• Maintain benefits stability even if future changes occur in one area of federal benefits

A Quick Summary for Peace of Mind

If you’ve been wondering whether PSHB disrupts your other benefits like FEGLI or FEDVIP, rest assured—it doesn’t. These programs continue as they always have. You don’t need to take any action unless you want to change your coverage. All you need to do is continue managing your benefits the same way you always have.

Stay Confident in Your Coverage Choices

In 2025, while the PSHB program brings notable updates for medical coverage, it leaves your life, dental, and vision benefits unchanged. You’re still in control of those decisions. If you’re ever unsure about what actions to take, or how one benefit affects another, it’s best to consult a licensed agent listed on this website for personalized assistance.