UCare lays off 102 as wind down continues

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UCare is laying off 102 employees as the nonprofit insurer continues to wind down operations.

The company filed a Worker Adjustment and Retraining Notification Act notice Aug. 3 in Minnesota. UCare’s support for Medicaid contracts ends Oct. 1, prompting the layoffs.

Employees’ final days will take place in October, with the exception of one employee who will work into November. Affected roles include care coordinators and member services representatives. 

As UCare shuts down, Medica acquired some of the state contracts and assets in early 2026. The WARN notice said UCare has been working with Medica “to ensure a smooth transition of those contracts.”

UCare was put into rehabilitation in December 2025. In accordance with the rehabilitation plan, approved in April 2026, the layoffs are permanent.

In December 2025, The Minnesota Star Tribune reported the insurer was laying off about 250 employees in January 2026 as hundreds remained in limbo.

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