UnitedHealthcare Loses Challenge Over Minnesota Law Banning For-Profit Medicaid Plans
On June 30, 2025, UnitedHealthcare lost its legal challenge to the Minnesota law that excludes for-profit insurers from holding Medicaid managed care organization (MCO) contracts, and only allows contract awards to non-profit health plans. UnitedHealthcare can appeal the ruling.;
Before 2017, Minnesota did not permit the Department of Human Services (DHS) to award MCO contracts to for-profit organizations. However, in 2017, the legislature changed its requirements to allow for-profit health plans to compete under the same participation requirements, medical loss ratio reporting, and financial reviews, then in May 2024, the state enacted Minnesota House File . . .