Healthcare price-transparency platform Turquoise Well being has raised $20 million in Collection A funding. The spherical was led by Andreessen Horowitz with participation from Bessemer, Field Group and Tiger World.
WHAT IT DOES
Turquoise affords a platform the place sufferers can search companies and suppliers for value data, evaluate money costs and enter insurance coverage data to search out out-of-pocket prices. The corporate receives its knowledge from machine-readable information posted by hospitals to remain in compliance with CMS’ Hospital Value Transparency Rule, which went into impact in January 2021.
The corporate additionally supplies compliance instruments for hospitals, service bundling software program, market fee knowledge, a pricing API for different firms to make use of of their apps, and a Medicare pricing engine.
Alongside the Collection A, Turquoise introduced a brand new product, dubbed Clear Contracts. Its objective is to simplify the direct-contracting course of between suppliers and payers. The platform makes use of the corporate’s pricing knowledge and boilerplate contracts, so events can extra rapidly shuttle on acceptable charges.
“We’re dedicated to a imaginative and prescient of the brand new ‘pre-revenue cycle’ the place sufferers and payers know the prices upfront and suppliers develop into accustomed to real-time cost for shoppable companies,” cofounder and CEO Chris Severn stated in a press release.
“By making a clear, easy-to-use direct contracting platform, Turquoise Well being is shifting the trade’s focus in direction of full monetary certainty previous to care in the end leading to much less friction between sufferers, suppliers and payers.”
Many hospitals nonetheless aren’t in full compliance with the federal value transparency guidelines. In accordance with a February survey from patientrightsadvocate.org, solely 14.3% of 1,000 hospitals had been absolutely following the principles.
About 38% of the hospitals included within the survey posted sufficient negotiated charges, however greater than half weren’t compliant in different facets of the rule, like charges by every insurer and named plan. These outcomes had been according to earlier research discovering many hospitals weren’t absolutely compliant.
Different tech-enabled firms that purpose to extend value transparency in healthcare embody CashMD, which launched its value device in 2019, and ‘self-pay’ insurtech Sidecar Well being, which raised $125 million in Collection C funding in January 2021.