Leaving active duty brings many changes, and one of the most pressing concerns for service members is the future of their healthcare coverage. While the military’s TRICARE plan offers a robust and comprehensive plan during active service, it doesn’t always continue in the same manner after separation. Understanding options in advance can help mitigate the stress of bridging the gaps in healthcare coverage for servicepeople.
If someone is on terminal leave, TRICARE benefits remain unchanged – they and their covered dependents can access the same doctors, treatments, and prescriptions. However, this coverage ends at midnight on the official separation date and planning ahead is key.
When leaving active duty, many service members are eligible for the Transitional Assistance Management Program (TAMP). This program provides up to 180 days of continued health coverage at no cost to them and their dependents, allowing time to adjust, search for employment offering health insurance, or explore other longer-term insurance options. It is important to check eligibility by consulting the relevant personnel office or through milConnect.
At the conclusion of TAMP, there are other pathways to maintain health coverage. Continued Health Care Benefit Program (CHCBP) allows for similar benefits as TRICARE for up to 36 months. Participating in this requires paying a quarterly premium and provides coverage while during a job search or until a new employer’s insurance coverage takes effect. However, this can be costly. In 2025, quarterly premiums for single coverage costs $1,849 and $4,621 for family coverage. Enrolment must be within 60 days of losing TRICARE or TAMP, otherwise eligibility is lost.
In the case of a transition from active duty to the reserves, applicants may qualify for TRICARE Reserve Select (TRS). For 2025, monthly premiums were approximately $54 for single coverage and $275 for family coverage. TRS is more cost effective than CHCBP and if eligibility is met, is a strong option.
It’s also important to keep in mind that separation from the military does not automatically mean VA health care is received. An application must be made and eligibility is dependent on a variety of factors including years of service, disability rating, and income. VA coverage is varied and may not necessarily mean full coverage. Note that spouses and children are not included in VA health care.
Making decisions about health coverage comes at a time when many Americans are dissatisfied with the healthcare system. Surveys show that Americans find healthcare to be costly, confusing, and unpredictable especially for those in rural and underserved communities. Service members leaving active duty can feel this uncertainty even more because they’re transitioning from a structured and well-defined military system into a complicated civilian one.
In response to these challenges, some individuals are turning to health care sharing ministries. These groups are not traditional insurance, but they typically have lower costs than standard insurance plans and can be a viable option for those who are struggling to cover high premiums.
It’s critical for all Americans to plan ahead and educate themselves on all available options before changes in health coverage. Lapses in insurance coverage should be avoided, as an accident, sudden illness, or injury, can cost thousands.