- Transcarent recently announced it has raised $200 million in Series C funding. These are the details.
Transcarent — a new and different health and care experience company for employees of self-insured employers and their families — recently announced a $200 million Series C investment led by Kinnevik and Human Capital with participation from Ally Bridge Group and leading health systems including Northwell Health, Intermountain Healthcare, and Rush University Medical Center. And the funding round also included participation from existing investors, including General Catalyst, 7wireVentures, Alta Partners, Merck Global Health Innovation Fund, Jove Equity Partners, Threshold Ventures, and GreatPoint Ventures.
This funding round brings Transcarent’s total funding raised to $298 million in just over one year and highlights the growing demand from self-insured employers for the company’s new and different approach to managing care for their employees and their families and the strong interest in innovative health delivery systems to explore new payment models.
Transcarent serves as the on-ramp for self-insured employers and their employees to a new kind of experience unlike anything in healthcare today. And Transcarent provides personalized health and care support for virtually all of the most common and most challenging needs, including not just essentials like urgent care but also including lower cost medications, personalized behavioral health symptom evaluation, and support, along with where appropriate, specialty care like surgeries, care at home, cancer, and expert second opinions.
The members get 24/7 access to trusted digital and live guidance (real humans) and direct access to high-value care. And most Members receive no bills nor are they responsible for co-pays and co-insurance. This is due to Transcarent offering what no other company does today: a fully at-risk model which pays providers up-front for care and partners with employers without any up-front or per-employee-per-month (PEPM) fees.
KEY QUOTES:
“At Transcarent, we’ve created a new and different health and care experience that puts consumers back in charge and is simply better aligned for employers, employees and their families, and the providers who deliver high quality care in this country. Health consumers want an experience they can understand and feel comfortable with, that provides unbiased information, trusted guidance, and easy access to high value care and that always puts quality first. They want better solutions for everyday care, for medications, for surgeries, for care that is delivered where and when they need it, ideally at home and not always during the day, and for high quality solutions for complex care like cancer. And they want all of that in one place. This is long overdue and judging by the interest we’re receiving in the market from all of us who pay for care and the companies that employ us, everyone likes what we’re doing.”
— Glen Tullman, Chief Executive Officer of Transcarent
“For years, we’ve been anxiously waiting for more wide-ranging reform towards value in the healthcare industry and felt it has never been fully addressed – mostly because no one entity was willing to build a better end-to-end health and care experience from the ground up. We see Transcarent as the first company to address the challenge head on in a new and different way that is focused, first and foremost, on the consumer,” said
— Christian Scherrer, Investment Manager for Kinnevik, who is co-leading the Series C funding round
“Northwell Health has long been committed to doing our part to drive health reform in our region. It’s why we launched Northwell Direct to deliver high-quality employer health services tied to new payment models. Today, we’re proud to be partnering with and investing in Transcarent as a way to accelerate our efforts on a national level.”
— Michael Dowling, Chief Executive Officer of Northwell Health
“From the first days we began to white board the ideas behind Transcarent, we realized that there was an opportunity to fundamentally change the dynamics of the industry, empower consumers with information, intelligence, and access in a way that had never before been done in healthcare. All the while, making it easier to stay healthy, less costly, and putting everyone on the same level playing field by eliminating care blocks like co-pays and co-insurance. Transcarent is all about using technology to increase access, improve quality, and reduce cost while creating an experience people love. At General Catalyst, this is core to our health assurance work.”
— Hemant Taneja, Managing Partner of General Catalyst
“Transcarent is leading the way in reimagining how consumers access information to make informed decisions about their personal health and care. The company is poised for transformative growth and continuing to attract top-level talent will be essential. In addition to joining as investors, we have already begun our partnership with Transcarent by deploying key industry technology human resource leaders to help Transcarent continue to build a world-class team. We are thrilled to be working closely with Glen and his team on this next phase in the company’s growth.”
— Armaan Ali, Co-Founder and CEO of Human Capital
