Providers Receiving First Batch of Outstanding UCare Payments

April 30, 2026

Last November, UCare announced it would be shutting its doors in 2026, leaving many providers with outstanding claims that had not been paid out. On December 17, 2025, UCare was placed into rehabilitation by order of a Minnesota District Court to facilitate its liquidation. On April 7, 2026, the Court approved a rehabilitation plan that requires the first batch of payments to providers, totaling $350 million, to be paid out within 30 days. 

According to the rehabilitation plan, UCare has reported liabilities of $1,095,394,185 which includes “$908,778,187 in amounts due to providers for health goods and services under UCare’s insurance contracts, and claims by UCare’s enrollees for coverage and amounts due to providers for other contracted services.”  

The plan classifies UCare’s outstanding obligations into six classes, with each class being paid out fully before payment of the next class of claims begins. Most payments due to providers fall under class four “claims by all providers for health care goods and services to the extent covered by an HMO contract.” 

After the initial batch of payments for class four are paid out, a monthly review will be conducted to assess the ability of UCare to make further distributions to class four. There is understandably much concern about whether the remaining $558,778,187 due to providers, after the initial batch, will be able to be paid out.  

Additional information for providers can be found here: UCare Minnesota – In Receivership.