What happens if I do nothing during Open Season when my FEHB plan is discontinued?

OPM auto-enrolls non-responders into a designated replacement plan. For 2026, that was GEHA Benefit Plan High Option. Your coverage does not lapse, but you land in a plan OPM picked, not one you chose. The default plan can carry very different premiums, networks, and benefits than your old plan.

What if my plan exits FEHB in the middle of the year instead of at Open Season?

A mid-year exit counts as a Qualifying Life Event. You get a special enrollment window and do not have to wait for November. OPM also provides a 31-day free extension of coverage while you pick a new plan.

FEHB Plan Discontinued? What OPM Does If You Don't Act

Q: Was the NALC Health Benefit Plan discontinued from all federal coverage?

No. NALC HBP exited the FEHB program for non-postal federal employees effective January 1, 2026, but it continues in the separate PSHB program for USPS workers and postal retirees. NALC's own statement confirmed the change does not affect the PSHB program.

Q: Which FEHB plans were discontinued for 2026?

Eight plan options across six carriers exited FEHB for 2026: NALC HBP (Standard and CDHP), AvMed (HDHP and Standard), Health Alliance HMO Standard, Blue Care Network of Michigan High, Priority Health High, and Independent Health High. About 32,000 non-postal enrollees were affected.

Q: Does switching plans after a discontinuation restart the 5-year FEHB rule for retirement?

No. The 5-year rule requires continuous enrollment in any FEHB plan, not the same plan. Switching because your plan exited, or for any other reason, does not restart the clock as long as your coverage is continuous.

Last Updated: August 7, 2026 Reading Time: 7 min

If your FEHB plan is discontinued, you will not lose coverage. But you can end up paying hundreds more per pay period for a plan you never picked. That is what happened to thousands of federal employees in January, and a July Reddit thread titled "NALC eliminated from FEHB" shows plenty of feds still don't know how the rules work. Here is what actually happens when a plan exits, and what to do before Open Season closes on December 8.

The NALC Confusion: Exited FEHB, Still Alive in PSHB

The single most misunderstood plan exit of 2026 is NALC Health Benefit Plan. Say "NALC was discontinued" and you are half right.

The Postal Service Reform Act of 2022 split federal employee health insurance into two tracks. FEHB now covers non-postal federal employees and annuitants. The Postal Service Health Benefits program, PSHB, covers USPS employees and postal retirees exclusively. The split took effect January 1, 2025.

A carrier can participate in one program, both, or neither. NALC HBP, a union-affiliated plan whose members are overwhelmingly postal, chose to leave FEHB for the 2026 plan year while staying in PSHB. In the plan's own words: "This change will not affect the Postal Service Health Benefits (PSHB) Program."

So if you are a letter carrier or a postal retiree, NALC HBP is still your plan. If you are a non-postal fed who was enrolled in it, your plan left you on January 1, 2026. About 29,000 people were in that second group. Our PSHB program guide covers the postal side in detail.

All 8 FEHB Plan Options That Exited for 2026

Per OPM Benefits Administration Letter 25-401 and OPM's 2026 Open Season materials, these options ended January 1, 2026:

Plan	Options Discontinued	Geography
NALC Health Benefit Plan	Standard Option, CDHP	National
AvMed Health Plan	HDHP, Standard	Florida
Health Alliance HMO	Standard	Regional
Blue Care Network of Michigan	High	Michigan
Priority Health	High	Michigan
Independent Health	High	Regional

Six carriers, eight plan options, roughly 32,000 affected non-postal enrollees per Federal News Network. Every one of those enrollees got the same choice: pick a new plan during Open Season, or let OPM pick for you.

FEHB Plan Discontinued and You Did Nothing? The Crosswalk Rule

OPM's standing procedure for a plan exiting at year-end has five steps:

OPM and the carrier notify affected enrollees in writing.
You can choose any available FEHB plan during Open Season.
Non-responders are auto-enrolled into a designated replacement plan. For 2026, that was GEHA Benefit Plan High Option.
Coverage is continuous. There is no gap between plan years.
You can switch again at the next Open Season.

The auto-enrollment rule is a real safety net. Nobody wakes up uninsured because their plan left the program. But the default can be expensive.

The clearest example from 2026: a NALC CDHP Self Plus Family enrollee paying about $146 biweekly who ignored the notices landed in GEHA High at roughly $525 biweekly. That is a 260% premium jump, chosen by default rather than by decision. We broke down that math in our 2026 FEHB premiums analysis.

The crosswalk protects your coverage, not your budget.

Mid-Year Exits and TCC: The Two Edge Cases

Mid-year plan exits are rare, and none happened in 2026, but the rules differ. A termination outside Open Season counts as a Qualifying Life Event. You get a special enrollment opportunity right away, plus a 31-day free extension of coverage and conversion rights while you decide. Contact your HR office within 60 days of the event. OPM's changes outside Open Season rules govern here.

TCC enrollees need to pay closer attention. Temporary Continuation of Coverage extends FEHB-style coverage up to 18 months after separation. If your specific plan exits, TCC preserves your right to coverage, but you must actively elect a plan that still exists. Do not assume the auto-enrollment crosswalk covers your TCC case. Call your former agency's HR as soon as a discontinuation notice arrives.

Will Any Plans Exit for 2027? What to Watch

As of early August 2026, there is no FEHB plan discontinued for the 2027 plan year, at least not yet. That is normal timing, not a guarantee: the plan list and any discontinuations usually publish in September or October, ahead of Open Season on November 9.

Where announcements show up first:

OPM's FEHB carrier page and Benefits Administration Letters
Your carrier's own member notices, which arrive by mail if your plan is affected
NARFE and the federal press, which picked up the 2026 exits within days

The 2027 plan year also brings broader changes worth tracking. Our guide to the 2027 OPM call letter covers what carriers were told to change.

Your Plan-Exit Checklist Before December 8

If your plan announces a 2027 exit this fall, work through this list before Open Season closes:

Confirm it. Verify any FEHB plan discontinued notice through OPM's BAL or your carrier's site, not word-of-mouth or Reddit.
Compare before you land somewhere by default. Check premiums, deductibles, and networks against the designated replacement plan.
Run a formulary check if you have ongoing prescriptions. Default plans do not guarantee your drugs are covered the same way.
Near retirement? Relax about the 5-year rule. It requires continuous FEHB enrollment, not the same plan. Switching does not restart the clock. More in our 5-year rule myths guide.
On TCC? Call your former agency HR immediately. The auto-crosswalk is not built for your case.
Enroll actively. The GEHA High default saved coverage for 2026 non-responders, but for some of them it nearly quadrupled the premium.
Mark the deadline: Open Season runs November 9 through December 8, 2026.
Run the numbers first. Our free FEHB Premium Calculator compares your current plan against GEHA High and other alternatives, including the government contribution math. Ten minutes now beats a 260% surprise in January.

Frequently Asked Questions

Was the NALC Health Benefit Plan discontinued from all federal coverage?

No. NALC HBP exited FEHB for non-postal federal employees effective January 1, 2026, but continues in the PSHB program for USPS workers and postal retirees. NALC confirmed the change does not affect PSHB.

What happens if I do nothing when my FEHB plan is discontinued?

OPM auto-enrolls you in a designated replacement plan. For 2026 that was GEHA Benefit Plan High Option. Coverage never lapses, but the default plan may cost far more than what you paid before.

Which FEHB plans were discontinued for 2026?

Eight options across six carriers: NALC HBP Standard and CDHP, AvMed HDHP and Standard, Health Alliance HMO Standard, Blue Care Network of Michigan High, Priority Health High, and Independent Health High.

What if my plan exits mid-year instead of at Open Season?

A mid-year exit is a Qualifying Life Event. You get a special enrollment window immediately, plus a 31-day free coverage extension while you choose. You do not wait for November.

Does switching plans after a discontinuation restart the 5-year FEHB rule?

No. The rule counts continuous enrollment in any FEHB plan. A forced switch because your plan exited does not affect your eligibility to carry FEHB into retirement.

FEHB Premium Calculator: Compare plan costs including the government share
FEHB Premiums 2026: The premium-shock math behind the GEHA crosswalk
FEHB Plan Evaluation Guide: How to actually compare plans during Open Season
PSHB Program Guide: The postal side of the FEHB/PSHB split
FEHB 2027 Changes: OPM Call Letter: What carriers must change for 2027

Sources: OPM BAL 25-401, OPM: What to Do When Your Health Plan Is Terminating, NARFE discontinued plans list, Federal News Network, NALC HBP member notices.