Collective Health Inc., a startup offering tech-savvy tools for managing health benefits, has raised a fresh infusion of investor cash as it seeks to win over more employers fed up with a fragmented, costly market. The San Francisco-based company, founded in 2013, is betting that growing dissatisfaction with rising health-care costs will lure more firms to its technology, which lets employers cut through the tangle of different benefits they typically administer. The Collective Health employer portalSource: Collective Health
Collective Health's approach to self-insured employer health plans
The wheels on this are already turning. For example, Collective Health, a startup that's raised $119 million from investors including Peter Thiel's Founders Fund and GV since getting its start in 2013, works with employers to build out plans that fit their needs, adding technology with the hope of making things like submitting claims and reading bills easier than it tends to be. Chief Health Officer Dr. Rajaie Batniji cofounded Collective Health with CEO Ali Diab, who was working in technology, including working on the search team at Yahoo. At the same time, Batniji was going the academic route, getting a PhD in healthcare financing. "I was taking the academic route thinking I'd make the system better by writing papers about it," Batniji said.
Collective Health’s Goal: Medical Benefits That Work
The No. 2 company in the WSJ’s Tech Companies to Watch says insurance can be less costly for employers and less frustrating for workers... As costs for health care keep rising, Collective Health Inc. is counting on companies turning to it for better ways to spend their medical dollars. Collective Health administers health benefits for businesses that self-insure, meaning they cover their employees’ medical claims themselves instead of paying premiums to an insurer. Most large and many small and midsize companies self-insure because it lets them customize their benefits and save money in the long term.
Switch to start-up has surprising results for Activision employees' insurance
Gina Hope loves her job helping market games like "Call of Duty," at Activision Blizzard in Los Angeles. Her health insurance was another thing. "I have a son with special needs," Hope explained. "We don't want to be switching from provider to provider, because it's a learning process every time somebody new comes into the picture." Her child's provider was out of network and for years it has meant she spent thousands of dollars for his care out of pocket. When Activision Blizzard switched to a start-up benefits manager called Collective Health for 2016, she was skeptical. She checked was to see if her son's provider was covered. He wasn't. She mentioned it to her colleagues in Human Resources, not expecting anything to
Collective Health Closes On $81 Million, Adds Google Ventures To List Of High-Profile Investors
Enterprise health insurance services platform Collective Health has raised a healthy $81 million in Series C funding to help the startup continue to grow its team, as well as cover the U.S. market. Ali Diab co-founded Collective Health with his friend Rajaie Batniji, a physician and political economist at Stanford University, after Diab had a terrible experience going the rounds with his health insurance. Diab’s gut had twisted up on itself and he had to get treated or risk death. Just as Diab was struggling to regain his health, his insurance decided it didn’t need to pay.
Google Joins $81 Million Funding Round of Health Benefit Startup
Collective Health Inc., a startup that helps employers provide health insurance for their workers, raised $81 million as the firm takes its technology nationwide. Google Ventures invested in Collective Health for the first time, and New Enterprise Associates and Founders Fund also participated in the Series C fundraising round, bringing the total amount the firm has raised to $119 million, Collective Health said in a statement. The company is partnering with Anthem Inc. and other health insurers to use their hospital and doctor networks for customers across the U.S.
Collective Health raises $38 million to scale its insurance platform