Minneapolis-based UCare will bid on a contract that would allow the health plan to manage care for a large group of beneficiaries in Iowa's Medicaid program, the Star Tribune reported March 7.
UCare will compete for a state contract in Iowa that Anthem subsidiary Amerigroup currently holds, which covers more than 400,000 people, according to the Tribune. The deadline for proposals is in the spring and contracts are expected to be awarded in the summer. Coverage for beneficiaries would start in July 2023.
UCare told the Tribune its expansion into Iowa would start with Medicaid, but it is also considering adding Medicare and commercial plan offerings. It also said it is hiring local executive management and will open an office in Iowa.
In 2016, Iowa began hiring private managed care companies to deliver coverage for Medicaid beneficiaries. Currently, Medicaid benefits in Iowa are managed through subsidiaries of Anthem and Centene.