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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.
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Business Wire broke the news in Crystal River, United States on Monday, November 17, 2025.
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