Managers of a voluntary dental plan for military retirees are renewing the contract of the current vendor, Delta Dental of California.
The Tricare Management Activity, an arm of the U.S. Department of Defense, has renewed the California dental carrier's Tricare Retiree Dental Program administration contract.
The contract includes a 12-month base period and options for program managers to renew the contract for five additional 1-year periods, according to the Tricare Management Activity.
The contract has a total value of about $2.6 billion, Tricare officials said.
Tricare received a total of three bids for the contract. Competing vendors that fail to win Tricare contracts can and often do appeal contract decisions.
Delta Dental of California is part of Dentegra Group, an organization that also includes Delta Dental of Pennsylvania, Delta Dental Insurance Company and Delta Dental of New York.
The affiliated carriers provide or administer dental benefits for about 26 million people.
The Tricare retiree dental program offers access to enrollee-paid dental benefits to 5 million military retirees and military retiree dependents. About 1.3 million retirees and dependents participate, Delta Dental of California said.
The program provides fee-for-service and preferred-provider plans in all 50 states, the District of Columbia, Puerto Rico, Guam, the U.S. Virgin Islands, American Samoa, and the Commonwealth of the Northern Mariana Islands, Canada and overseas.