The layoffs come after the state announced in October it would transition back to Wellesley-based DentaQuest as its third-party administrator for dental services.
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BeneCare Dental Plans, a Pennsylvania-based dental insurance company, is closing its Worcester office and laying off 50 workers at the site, after a company contract with the state was ended prematurely.
BeneCare, also known as Dental Benefit Management, Inc., will close its office on the fifth floor at 446 Main St. starting on Jan. 31, with the closure wrapped up by the end of March, according to a letter the company submitted as part of its Worker Adjustment and Retraining Notification Act filing with MassHire.
BeneCare did not immediately respond to a voicemail seeking comment on the layoffs. The layoffs mostly comprise employees working in constituent services, with all employees receiving a written 60-day notice of position elimination. All terminated employees are non-union.
The layoffs come after the Massachusetts Executive Office of Health and Human Services announced in October it would transition back to Wellesley-based DentaQuest as its third-party administrator for dental services in early 2026, according to a notice posted to MassHealth’s website.
“MassHealth is committed to processing all claims and service authorizations correctly and will be working diligently with BeneCare and providers to resolve any issues over the next few months,” the October notice read.
While the contract was intended to run for three years, according to HealthManagement.com, no reason was given by the state for the switch back to DentaQuest.
The Daily Hampshire Gazette reported in July a Hadley-based dentistry office was having issues with obtaining reimbursements through BeneCare. In late May, trustees for the Massachusetts Dental Society sent a demand letter to Michael Levine, assistant secretary for MassHealth, calling for improvements to be made to the system, according to the Gazette.
The MassHealth Dental Program provides access to dental care to approximately 2 million Massachusetts residents. BeneCare had been named the third-party administrator in 2024, while DentaQuest was the third-party administrator immediately prior to BeneCare.
Eric Casey is the managing editor at Worcester Business Journal, who primarily covers the manufacturing and real estate industries.