Here is the official announcement.
On June 13, the Office of Personnel Management (OPM) quietly released a
"program carrier document" related to the Federal Employee Health Benefits
Program (FEHB). The subject of the letter is "Gender Identity Disorder/Gender
Dysphoria."
The effect of the letter is to allow federal employee health insurance carriers to
provide insurance for sex change operations and for expenses related to a sex
change operation. OPM describes this as the need to provide health benefits
consistent with each person's individual medical status before and after gender
transition. The OPM letter also states that OPM is removing the requirement that
FEHB brochures exclude "services, drugs, or supplies related to sex
transformations."
According to the OPM letter, health insurance carriers cannot remain silent on
the issue. Instead, carriers will have to propose one of two options:
Remove the General Exclusion language and provide to OPM the specific
brochure text that describes the covered components and limitations of care for
the diagnosis; or Maintain the General Exclusion language for the 2015 plan year.
The federal government's Medicare program also lifted a ban on sexreassignment
surgeries about two weeks ago.