Healthcare price-transparency platform Turquoise Well being has raised $20 million in Sequence A funding. The spherical was led by Andreessen Horowitz with participation from Bessemer, Field Group and Tiger World.
WHAT IT DOES
Turquoise gives a platform the place sufferers can search companies and suppliers for value info, evaluate money costs and enter insurance coverage info 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 Price Transparency Rule, which went into impact in January 2021.
The corporate additionally supplies compliance instruments for hospitals, service bundling software program, market price knowledge, a pricing API for different corporations to make use of of their apps, and a Medicare pricing engine.
Alongside the Sequence A, Turquoise introduced a brand new product, dubbed Clear Contracts. Its purpose 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 trip 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 turn out to be accustomed to real-time fee for shoppable companies,” cofounder and CEO Chris Severn mentioned in a press release.
“By making a clear, easy-to-use direct contracting platform, Turquoise Well being is shifting the trade’s focus in the direction of full monetary certainty previous to care finally 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 keeping with a February survey from patientrightsadvocate.org, solely 14.3% of 1,000 hospitals had been totally following the foundations.
About 38% of the hospitals included within the survey posted sufficient negotiated charges, however greater than half weren’t compliant in different features of the rule, like charges by every insurer and named plan. These outcomes had been according to earlier studies discovering many hospitals weren’t totally compliant.
Different tech-enabled corporations that intention to extend value transparency in healthcare embrace CashMD, which launched its cost tool in 2019, and ‘self-pay’ insurtech Sidecar Well being, which raised $125 million in Series C funding in January 2021.