Medica Acquires UCare; Providers Promise Services 'without Interruption'
Medica will acquire UCare’s Medicaid and individual plans after UCare’s $500 million loss in 2024, transitioning over 300,000 members without service interruptions.
- On Monday, Medica announced it will acquire UCare's 2026 Medicaid and individual and family plans, with more than 300,000 UCare members transitioning as UCare shuts down in 2026.
- Financial strain at UCare led to a nearly $500 million net loss in 2024 after a $325 million surplus two years earlier and cuts to Medicaid plans in 11 counties affecting more than 88,000 people.
- UCare and Medica assured that individuals enrolled in UCare's 2026 Medicaid and Individual and Family Plans will continue to receive services without interruption, as both prioritize continuity of coverage, according to UCare and Medica.
- Medica will work with UCare to plan transitions for current UCare employees, evaluate roles, and complete the deal subject to regulators and required approvals, expecting a first-quarter 2026 close.
- For context, Medica covers 1.4 million members across nine states and UCare was created more than 40 years ago, while MNsure reminded Minnesotans about the Dec. 15, 2025 enrollment deadline.
14 Articles
14 Articles
MNsure statement on Medica plan to take over UCare: No changes to UCare coverage for MNsure enrollees
ST. PAUL — MNsure, Minnesota’s official health insurance marketplace, assures UCare members that their health plans through MNsure will not change in coverage or cost for plan year 2026. Medica has announced a definitive agreement to acquire individual and family health plans from UCare, a Minnesota-based nonprofit health plan. This is a change for the individual market, but MNsure assures consumers that their coverage remains unchanged and will…
Medica to acquire 300,000 UCare health insurance accounts in Minnesota, Wisconsin
Health insurer Medica on Monday announced the acquisition of all of rival UCare’s 2026 Medicaid and individual and family plans. UCare, based in Minneapolis, currently covers about 300,000 members in Minnesota and western Wisconsin. Minnetonka-based Medica covers 1.4 million members across nine states, according to a press release. The announcement follows UCare’s decision earlier this year to terminate its Medicare Advantage contracts as the co…
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