Minnesota health insurance, explained
Medicare vs. MNsure in Minnesota: which one applies to you
Medicare and MNsure are not two options to compare; they are for different people. Medicare is for people 65 and over, and for some younger people with a disability. MNsure is Minnesota’s marketplace for everyone under 65 without job-based coverage. The one moment they touch is the month you become eligible for Medicare: your MNsure tax credit ends once you qualify for premium-free Part A, and staying on the marketplace plan means paying full price for coverage that Medicare does better. So the question is not which is better — it is how to cross from one to the other without a gap, a penalty or a double premium.
Who each one is for
Under 65, not disabled, no employer plan: MNsure or an individual plan bought directly. Sixty-five and over: Medicare, plus a Medigap or Advantage plan and Part D. Under 65 and on Social Security Disability for two years, or with certain conditions: Medicare, at any age.
Turning 65 while on a MNsure plan
Enroll in Medicare during your Initial Enrollment Period — the three months before your birthday month is the time to do it — and set the MNsure plan to end the day before Medicare begins. Do it in that order. Ending the MNsure plan early leaves a gap; leaving it running means two premiums, and the credit will have already stopped.
Part B costs $202.90 a month in 2026 for most people; skipping it because the MNsure plan feels fine carries a penalty of 10% for each full year you were eligible and not enrolled, for as long as you have Part B. Minnesota is one of three states with its own Medigap designs — Basic and Extended Basic, with optional riders — instead of the lettered plans sold elsewhere. Premiums here are not based on age, and anyone enrolling in Part B gets a six-month window to buy a Medigap plan with no health questions, whatever their age.
Medicare under 65
If you become eligible for Medicare through disability while on a MNsure plan, the same rule applies: the tax credit ends with Medicare eligibility and Medicare becomes primary. Minnesota is one of the states where people under 65 on Medicare get the same six-month Medigap window as everyone else, which matters — in many states they do not.
Households split across the line
One spouse on Medicare and one on MNsure is normal. The MNsure application still counts the whole household’s income, including the Medicare spouse’s Social Security, but only the younger spouse is covered by the marketplace plan. We handle both sides so the timelines line up.
Questions we get about this
Can I keep my MNsure plan instead of taking Medicare?
You can hold the plan, but you lose the tax credit the month you are eligible for premium-free Part A, you pay full price, and you start accruing a Part B penalty if you delay Part B without active employer coverage. Almost nobody is better off doing this.
Do I need to tell MNsure I am turning 65?
Yes — end the marketplace plan effective the day before Medicare starts. MNsure does not end it for you, and a plan left running bills you.
Is Medicare cheaper than a MNsure plan?
For most people at 65, yes: Part A is premium-free for most, Part B is $202.90 a month in 2026, and a Medigap or Advantage plan and Part D are added to that. A 64-year-old paying full price on the individual market is usually paying more.
Which Medicare plans do you work with?
We work Medicare Advantage, Medicare Supplement (Minnesota’s Basic and Extended Basic) and Part D drug plans, and we review them with clients every year during Annual Enrollment because formularies and networks change.
Ask us the version that is about you.
Pat or Spencer reads every request personally. Certified MNsure brokers, independent since 1986, and there is no charge for the conversation.
We do not offer every plan available in your area. Currently we represent 11 organizations which offer 36 products in your area. Please contact Medicare.gov, 1-800-MEDICARE, or your local State Health Insurance Program (SHIP) to get information on all of your options.