Blue Cross MPDP, explained
Keep it, or opt out?
For most retirees with Medicare, keeping it saves money. Who should opt out is below.
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1. What MPDP is
MPDP, the Medicare Prescription Drug Program, is the Medicare Part D plan built into FEP Blue Standard and Basic for retirees with Medicare. OPM lets FEHB plans offer their own Part D plans. Blue Cross puts eligible retirees into it automatically.
You stay in FEP Blue. Your medical coverage doesn’t change, and there’s no extra FEP premium. Only your drug coverage moves to the Part D version, which has lower copays and a yearly cap. For the bigger picture, see Medicare Part D and FEHB.
2. Who gets auto-enrolled
FEP Blue Standard and Basic members who:
- Have Medicare Part A and Part B as their primary coverage.
- Live in the U.S. or a U.S. territory.
- Are not in a Medicare Advantage plan and not on Medicare because of kidney failure.
FEP mails a letter before it enrolls you. With only Part A or only Part B, you can join by form at any time. FEP says MPDP isn’t open to FEHB members in FEP Blue Focus. Joining MPDP ends any other Part D plan you have.
3. 2027 copays
There’s no deductible. Your drug costs stop at $2,400 for 2027, up from $2,100 in 2026; after that, covered drugs are $0.
| 2027 MPDP | Standard | Basic |
|---|---|---|
| Generic, 30 days | $5 | $10 |
| Generic, mail | $5 | $15 |
| Preferred brand, 30 days | $35 | $45 |
| Preferred brand, mail | $85 | $95 |
| Non-preferred brand, 30 days | 50% | 50% ($60 minimum) |
| Non-preferred brand, mail | $125 | $175 |
| Specialty, 30 days | $60 | $75 |
| Specialty, mail | $150 | $200 |
| Insulin, per month | $35 | $30 |
What changed from 2026: on Basic, mail-order non-preferred brands rise from $125 to $175, mail-order specialty drugs from $150 to $200, and insulin falls from $35 to $30. On Standard, a 31- to 90-day retail fill of a specialty drug rises from $170 to $180.
4. MPDP vs regular FEP drug coverage
A 30-day retail fill, 2026 copays:
| 30-day retail | Regular FEP | MPDP |
|---|---|---|
| Standard, generic | $7.50 | $5 |
| Standard, preferred brand | 30% | $35 |
| Basic, generic | $15 | $10 |
| Basic, preferred brand | 35% (max $150) | $45 |
| Basic, specialty | 35% (max $250) | $75 |
Basic’s regular drug benefit has no mail order; MPDP adds it. If you fill brand-name or specialty drugs, MPDP usually costs less.
5. Who should opt out
- Higher earners who take few drugs. In a Part D plan you pay Part D IRMAA to Social Security: $14.50 to $91.00 a month per person in 2026, starting above $109,000 single or $218,000 joint. If a few generics are all you take, that can cost more than MPDP saves. See how to appeal IRMAA after you retire.
- People who rely on drug-maker coupons. Coupons can’t be used in a Part D plan.
- People who fill prescriptions overseas. MPDP doesn’t cover drugs bought outside the U.S.
Check your own drugs in FEP’s drug cost tool; 2027 MPDP prices go live there on November 6. Opting out of MPDP doesn’t trigger a Part D late penalty as long as you keep FEP Blue, because FEHB drug coverage counts as creditable coverage.
6. How to opt out
- Get the MPDP disenrollment form from fepblue.org/medicarerx.
- Mail it to P.O. Box 3539, Scranton, PA 18505, or fax it to 855-865-1817.
- Watch for FEP’s confirmation. You go back to the regular FEP Blue pharmacy benefit. Your medical coverage doesn’t change.
FEP’s MPDP page says you can rejoin once per benefit year. Older FEP materials said you had to wait for Open Season, so confirm with FEP before you opt out.
Open Season runs November 9 to December 14, 2026. Comparing plans? Warrior Insure’s FEHB premium estimator shows 2027 premiums. Still working? Federal Warrior’s FERS pension estimator projects your annuity. A veteran? Warrior Disability’s calculator adds VA disability pay.
7. Frequently asked questions
What is the Blue Cross MPDP?
It is the Medicare Part D drug plan that comes with FEP Blue Standard and Basic for federal retirees with Medicare. It’s an employer group Part D plan run by the Blue Cross and Blue Shield Federal Employee Program. There is no extra FEP premium for it.
Who gets auto-enrolled in MPDP?
FEP Blue Standard and Basic members who have Medicare Part A and Part B as primary coverage, live in the U.S. or a U.S. territory, and are not in a Medicare Advantage plan or on Medicare because of kidney failure. FEP mails a letter before it enrolls you. Members with only Part A or only Part B can join by form.
How do I opt out of MPDP?
Send FEP’s MPDP disenrollment form by mail to P.O. Box 3539, Scranton, PA 18505, or fax it to 855-865-1817. You keep your FEP Blue medical coverage and go back to the regular FEP pharmacy benefit.
Can I rejoin MPDP after opting out?
FEP’s MPDP page says members can re-enroll once per benefit year. Check with FEP before you opt out, because older FEP materials said you had to wait for Open Season.
Does MPDP cost more if I have high income?
It can. Because MPDP is a Medicare Part D plan, Social Security charges Part D IRMAA if your income is over the limit: $14.50 to $91.00 a month per person in 2026. The regular FEP pharmacy benefit has no IRMAA.
Will I get a Part D late penalty if I opt out?
No, as long as you keep FEP Blue. FEHB drug coverage counts as creditable coverage, so you can join a Part D plan later without the penalty.
Copays from FEP Blue’s 2027 MPDP notices. Check your own drugs before you decide. Not medical or financial advice.