Last year, we wrote about the One Big Beautiful Bill and what it might mean for Medicare. While changes in the bill put added pressure on Medicare, rising healthcare costs and changes to how the federal government reimburses Medicare Advantage plans are putting even more pressure on insurers.
As a result, Medicare Advantage plans are being restructured, some insurers are reducing their service areas, prescription drug plan costs are changing, and Minnesota’s Medicare Supplement market is shifting.
Here’s what you need to know before choosing your 2027 coverage.
Know Your Medicare Open Enrollment Dates
By September 30th — Annual Notice of Change (ANOC) letters arrive. You’ll want to pay attention to Medicare letters this year. They’ll let you know if your plan is continuing, what’s changing, or if your plan isn’t renewing and you’ll need to choose a new one.
October 15 to December 7 — the big one. This is Medicare Open Enrollment, and it’s when anyone on Medicare can change almost anything: switch from Original Medicare to an Advantage plan or back, change Advantage plans, or change drug plans. Whatever you pick starts January 1, 2027.
January 1 to March 31 — the second chance. If you’re in a Medicare Advantage plan on January 1, you get one switch during these three months. You can move to a different Advantage plan or drop back to Original Medicare and add a drug plan. You can’t use this window to switch drug plans if you’re on Original Medicare.
Special windows, when something happens to you. Moving, losing other coverage, or having your plan discontinued all open a special enrollment period outside the normal dates. If your plan is ending, you get extra time, and you likely get the right to buy a supplement without health questions. Those rights have deadlines.
If you take one thing from this section: October 15 to December 7 is the window that matters for most people. Put it on the calendar now.
Minnesota Medicare Advantage Plans Are Changing
Medicare Advantage is sold county by county, and insurers decide each year where they’ll offer coverage.
For 2027, several insurers are reducing their Medicare Advantage footprint, meaning some plans will no longer be available in certain Minnesota counties. Nationally, insurers are also looking at ways to reduce costs, which could mean changes to benefits, networks and plan offerings.
This matters because your current plan may not be available in 2027, even if you’ve been happy with it.
If your plan is ending, you’ll receive information from your insurer about the change and your options. Don’t assume your coverage will simply roll over. Take time during open enrollment to compare what’s available in your county.
And remember: Medicare Advantage options can be very different from one county to the next.
Prescription Drug Plan Premiums Could Be Higher
If you have a standalone Medicare Part D prescription drug plan, you’ll want to pay close attention to your 2027 premium.
CMS has announced a 2027 national base Part D premium of $41.33, which is used as part of the formula for setting individual plan premiums. Your actual premium will depend on the specific plan you choose.
In that same announcement, CMS also announced they are ending the temporary Part D Premium Stabilization Demonstration after 2026. That means standalone prescription drug plans will return to more traditional pricing for 2027, which could lead to greater variation in premiums from one plan to another.
In other words, don’t assume your prescription plan will cost the same next year. Check your 2027 premium, deductible, drug list and pharmacy network before you renew.
Medicare Supplements Are Changing, Too
More people are shopping for Medicare supplements as some are pushed off Advantage plans, while affordable supplement options in Minnesota are also becoming more limited.
Minnesota also has its own supplement system. Unlike most states, it doesn’t use lettered plans like Plan G or Plan N. Instead, you’ll choose between Basic and Extended Basic, with optional riders.
And if your Medicare Advantage plan is ending, you may have a guaranteed issue right to buy a supplement without answering health questions. That right is time-limited, so don’t wait to explore your options.
The Bottom Line: Don’t Let Your Medicare Coverage Renew on Autopilot
There are a lot of moving pieces going into 2027, particularly for Minnesota Medicare beneficiaries. Your Medicare Advantage plan could change or disappear. Your prescription drug premium could increase. Your drug list or pharmacy network could change. And if you’re considering Medicare Supplement coverage, Minnesota’s new rules could affect both your choices and your premiums.
The good news? You have time to review your options.
“This year, it’s especially important to take a fresh look at your Medicare coverage. Plan availability, premiums and benefits are changing, and what worked for you this year may not be the best fit for 2027.”
— Gina LaBounty, Director of Medicare & ICHRA, Benafica
During Medicare Open Enrollment, take a fresh look at your coverage, costs, doctors, prescriptions and benefits for 2027. What worked well for you this year may not be the best fit next year.
If you’re not sure where to start, a licensed Medicare advisor can help you compare your options and understand what the changes mean for you.
To learn more, visit benafica.com/medicare.