Mark Berglund

Medicare Changes Are Coming - What Next?

Medicare changes are coming in 2019. The federal government will no longer allow Medicare COST Plans to be offered in Minnesota. Many of our clients, or their family and friends, currently have a Medicare COST Plan - and unfortunately many don't know that's the type of plan they have. They think they have a Medicare Supplement plan. Let's face it, Medicare is confusing for most of us.

There are an estimated 370,000 Minnesotans who have a Medicare Cost Plan and they need to replace it for 2019. They will need to convert to a new plan this upcoming AEP (annual enrollment period) between October 15 and December 7. If you have received a letter from your current insurance carrier saying your COST Plan is going away, this change will affect you.

Good news! Throughout the country Medicare Supplement plans (Medigap) and MA-PD (Medicare Advantage plans with Prescription Drug coverage included) plans have been very effective forms of health insurance coverage. Whether someone currently in a COST Plan should choose the Supplement + a separate PDP (Prescription Drug Plan) or MA-PD plan depends on many variables. Which company and which plan one chooses can also be daunting. This is where a local independent insurance agent / broker can help you - at no charge to you.

A local independent agent can listen to your specific situation and the agent can explain the coverages available to you and guide you through the decision making process. They can help you enroll, and be your third party advocate if there is ever a billing dispute or other problem down the road. By choosing a local agent you will have someone who will be there to service the policy in the future, and not just enroll you now to collect a commission and disappear back to their home state, never to be heard from again. That is important! Local agents understand Minnesota and Minnesotans, and have long term relationships with their clients’ future needs and health changes.

If you or someone you know has received a letter regarding the COST Plan transition and has questions, please feel free to contact our office at 612-236-8818 or email

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P: 612-236-8818

16511 Seymour Drive
Minnetonka, MN 55345