Help Customers Affected By Cost Plan Discontinuation in Minnesota

By Craig Taylor, Assistant Vice President, Associate Director, Medicare Solutions

  • Originally published June 7, 2018 , last updated November 6, 2018
  • Minnesota, Cost Plans, Medicare Advantage

Due to Federal legislation, Medicare Cost Plans will be discontinued in areas that have at least two competing Medicare Advantage (MA) plans meeting certain enrollment requirements. This will dramatically affect most clients on Cost Plans, including approximately 400,000 people in the state of Minnesota.

This market disruption does not affect the entire state, as seniors in certain counties (about 25% of the state) will continue to have access to Cost Plans. It’s rather urgent for affected individuals, as they will need to switch plans by the end of 2018.

Cost Plan enrollees may be unaware, concerned, or confused about their options. This is an opportunity for knowledgeable insurance professionals to help current Cost Plan customers with guidance and help finding a new plan. What is your plan to help these customers?

Carriers are responding to this market opportunity, and you can too. Large national carriers are considering offering MA plans in Minnesota in 2019, to serve those who want to change plans. Senior Market Sales can also help get you appointed to some of the top Medicare Supplement carriers in the area, so that you can offer a strong alternative to impacted individuals.

Here’s something to consider — Cost Plan customers who were enrolled through their employer may be automatically converted to an MA plan. This is an important distinction because individuals automatically enrolled in a new Medicare Advantage plan have the option to switch to original Medicare at any time, even if it’s not during the annual open enrollment period.

An SMS Marketing Consultant can help you understand and participate in this market disruption opportunity, and get you contracted with some of the top carriers in the area. Call today for guidance and assistance — 1.888.747.3810.