Retired Tennessee state employees and teachers on the state’s Medicare supplement will pay between $154.49 and $204.49 a month in 2027, according to the state’s 2027 premium notice. That is $19.85 more than this year in every service tier. The plan, called The Tennessee Plan, also gets a new administrator on Jan. 1, 2027, when BlueCross BlueShield of Tennessee takes over its claims.
What each service tier pays
The notice starts from a base premium of $204.49 a month, which it describes as the price before any state support is applied. The state then pays part of the premium for retired state employees and schoolteachers with 15 or more years of service, the state’s premium page says. The monthly premium falls as service rises:
- 30 or more years of service: $154.49, after $50.00 in state support
- 20 to 29 years: $166.99
- 15 to 19 years: $179.49
- Under 15 years: $204.49, with no state support
The amounts are per covered person. Retirees from local education support staff or local government jobs get the state support only if their governing body has authorized it, so their bill can be the full base amount.
How 2027 compares with 2026
The state’s 2026 notice put the base premium at $184.64 and the 30-year tier at $134.64. The 2027 tiers are all exactly $19.85 higher. That works out to about 10.8 percent more at the base rate and about 14.7 percent more for a retiree with 30 or more years, because the same dollar jump lands on a smaller bill. Over a full year, $19.85 a month adds up to $238.20 per covered person.
Premiums come out one month ahead. The January 2027 premium is taken from the Dec. 31, 2026 pension payment from the Tennessee Consolidated Retirement System, the notice says.
For a retiree weighing the Tennessee Plan against other Medicare coverage, the question is concrete: does $154.49 to $204.49 a month, with a new administrator, still beat the alternatives, and who has to act by Oct. 30.
A retiree with under 15 years of service pays the full $204.49 a month in 2027, and the choice window closes Oct. 30. The 2027 Medicare Open Enrollment Decision Kit includes a cost calculator spreadsheet that compares plans on cost, drugs and doctors, so a supplement can be weighed against other coverage with the numbers side by side.
Compare the $204.49 supplement against other plans with the Medicare Open Enrollment Decision Kit →
BlueCross BlueShield takes over claims
The 2027 notice says BlueCross BlueShield of Tennessee becomes the claims administrator on Jan. 1, 2027 and will serve through Dec. 31, 2031. This year’s notice lists UMR as the administrator, with a customer service line of 888-477-9307. Retirees with open questions about a claim handled in 2026 should keep that number until the state says otherwise.
The state has not announced a new phone number or member card schedule for the Tennessee Plan under BlueCross. Questions about the switch go to Benefits Administration at 800-253-9981 or 615-741-3590, the numbers the annual enrollment page lists for retirees.
The deadline and what happens with no action
Retiree annual enrollment runs Oct. 1 to Oct. 30, 2026, the state says. Changes are made online through the state’s Edison system starting Oct. 1. Mailed applications must be postmarked by Oct. 30, and email or fax requests are due by 11:59 p.m. Central on Oct. 30.
The retiree enrollment page says no action is needed for a retiree who wants to keep the current options. Those retirees stay in their plans, subject to eligibility, and pay the 2027 premium amounts. The state also says one chance to revise enrollment elections is allowed after the period ends.
Medicare Advantage and the Tennessee Plan
The Tennessee Plan works only alongside Original Medicare. The 2027 notice says that if a retiree has a Medicare Advantage plan, the Tennessee Plan policy pays no benefits. A retiree who joins an Advantage plan for next year should not assume the supplement will fill any gaps.
The 2026 notice said cancellation takes a written request to Benefits Administration with the member’s name, address, date of birth and Edison ID or the last four digits of the Social Security number. Coverage ended on the first of the month after the request arrived. Anyone who drops the plan should confirm the 2027 timing with the state.
Where to compare
The state posts the premium sheets for each group at its insurance premiums page, with separate 2027 sheets for teacher retirees, local education support staff and local government retirees. Those sheets show how much an employer contributes, which the Tennessee Plan notice leaves to a benefits coordinator.
Weighing the supplement before Oct. 30
The free route starts with the state. The Partners for Health site carries the 2027 premium notices, and Benefits Administration staff can confirm which service tier applies to a given retirement date. The state’s help center has a section on the Tennessee Plan covering eligibility and premiums.
Before calling, a retiree can gather the Medicare card, the latest Tennessee Plan statement, a list of current prescriptions and doctors, and the years of service on record. With those in hand, the 2027 premium is easy to put next to any other quote.
The decision comes down to three numbers: the premium for the right tier, any extra cost from dropping the plan, and the date the change would start. Premiums are taken a month ahead, so the January bill comes out of the December pension payment.
A $19.85 jump and a new administrator
Every tier pays $19.85 more in 2027, and a retiree who takes no action simply pays the new premium. The 2027 Medicare Open Enrollment Decision Kit has the Open Enrollment calendar and a cost calculator spreadsheet that compares plans on cost, drugs and doctors, so the keep-or-switch call rests on real numbers.
Get the Open Enrollment calendar and plan calculator in the Decision Kit →
This article was produced with AI assistance and edited for accuracy against the sources linked above.
