State restores health care contracts after county appeals

One Minnesota insurer that sued the state after losing most of its public program contracts is getting them all back. Another company in a similar situation isn't so lucky.

UCare and South Country Health Alliance filed lawsuits this summer after losing competitive bids for contracts to cover low-income residents on public programs for the next two years. Several counties also appealed the state's contracting decisions.

The Department of Human Services announced Thursday it will restore South Country Health Alliance in all 10 southern Minnesota counties it sought to win back. But UCare will get just one county back after the mediation process -- Olmsted County.

UCare is currently the largest provider for the state's public programs. The Minneapolis company says the result won't change its lawsuit against the state.

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