Ensuring you’re aware of your healthcare options allows you to navigate the process confidently and maintain the benefits you deserve.
As you begin to think about retirement from the military, your family deserves time to reflect on such a major milestone and look forward to what’s ahead. But it’s also important to spend time considering your healthcare options and making sure you take any necessary steps to maintain continuous, high-quality coverage throughout this retirement transition and beyond.
Learn more about your healthcare coverage options, what changes to expect, and what steps you should be prepared to take.
Before Age 65
If you’re retiring before age 65, there are some steps to take to ensure your TRICARE coverage continues as you transition to civilian life. When you retire from active duty or the National Guard or Reserve, it’s a TRICARE Qualifying Life Event. This gives you 90 days to select and enroll in a retiree TRICARE plan, such as TRICARE Prime or TRICARE Select.
To understand your transition as a retiree, check out TRICARE Qualifying Life Events. You can review your TRICARE options, enroll yourself, and enroll eligible family members within 90 days of retirement to avoid a gap in coverage.
You can enroll online, by phone, or by mail. Depending on which TRICARE plan you select, you may pay annual enrollment fees and small copayments. However, expenses may still be significantly lower than those of typical civilian healthcare insurance plans.
TRICARE’s brochure on retiring from active duty answers additional questions including going over what changes to expect, what actions to take, as well as questions specific to pharmacy and dental coverage.
Turning Age 65
When you turn 65, Medicare becomes the primary federal health insurance program for Americans, including military retirees. Once you become 65 and Medicare-eligible, regular TRICARE coverage ends and you’re automatically enrolled in TRICARE for Life, a Medicare wraparound benefit.
TRICARE for Life does
not require separate enrollment or fees, and healthcare coverage begins automatically once you have both Medicare Parts A and B. Under this system, Medicare pays first for covered services, and TRICARE for Life typically covers remaining deductibles and coinsurance.
Out-of-pocket healthcare expenses occur if the care you seek isn’t covered by Medicare or TRICARE. Check out the TRICARE For Life Cost Matrix to learn what Medicare pays for services covered by Medicare and TRICARE.
To maintain benefits, retirees must enroll in both Medicare Part A and Part B, and they must pay Medicare Part B premiums to retain TRICARE eligibility. Medicare Part B premiums vary based on income and can feel significant if you’re accustomed to minimal premiums under your previous TRICARE plan. For more information about Medicare Part B premiums, go to Medicare Costs, or call Social Security at 800-772-1213.
Before Age 65
It’s a good idea to learn more about this shift in coverage several months in advance of your 65th birthday. This allows you to prepare for the changes, begin looking at how provider access may change or expand, and even begin budgeting for Medicare Part B premiums. Experts suggest signing up for Medicare no later than two months before the month you turn 65.
TRICARE offers several resources to help you understand this shift in coverage. To start, check out the TRICARE For Life 101 podcast series. It covers many topics, from an overview of basics to how Medicare and TRICARE for Life interact, and more.
In addition, TRICARE has a handbook that provides an overview of the TRICARE for Life program. It describes how Medicare and TRICARE work together, explores provider options, explains costs, and more.
TRICARE also has a brochure that provides information on how to remain TRICARE-eligible after becoming entitled to Medicare at age 65. It includes details on signing up for Medicare, prescription drug coverage, and more.
Additional Considerations
When you retire, you may
also qualify for certain healthcare benefits from the Department of Veterans Affairs (VA). If separating from the military due to a service-connected illness or injury, you may be eligible for VA healthcare and benefits. Enrollment windows and premium rules are updated periodically. Be sure to confirm current rules on Medicare and TRICARE.
If you are a combat Veteran who served after September 11, 2001, you can enroll in VA health care for 10 years after you leave the military. During this time, you can get care — often at no cost — for health problems that may be linked to your service, even before a condition is officially tied to your service. The PACT Act of 2022 increased this window from 5 years to 10 years.
If you have other forms of healthcare coverage like a private insurance plan, Medicare, Medicaid, or TRICARE, you can use VA healthcare benefits along with these plans. For example, you may find you want to use VA for specialized or service-connected care needs and TRICARE or private insurance for your family’s day-to-day healthcare needs. Learn more about how VA works with other health insurance plans.
In addition, if you get a civilian job after retiring, you may choose to use your employer’s health insurance. You can explore using employer-sponsored health insurance along with TRICARE for Life, Medicare, or VA health benefits. The order of payment depends on your employer’s size. If your employer has 20 or more workers, the employer plan usually pays first and Medicare pays second. If your employer is smaller, Medicare usually pays first. In both cases, TRICARE for Life pays last.
Retirement can be an exciting time, full of reflection on your accomplishments and anticipation for the next chapter. Ensuring you’re aware of your healthcare options allows you to navigate the transition process confidently and maintain benefits you deserve.