Connie Health startup secures additional $13m to scale its tech-enabled Medicare navigation platform
Connie Health, a tech-enabled consumer Medicare navigation platform helping Americans make more informed health and financial choices, announced a $13 million Series A round and begins operations in its second state, Texas.
The Series A comes just four months after the company began serving the public in Arizona and was led by Khosla Ventures and Pittango Healthtech. It follows the company's $3 million seed round in January 2020 also, led by Khosla Ventures.
Bringing total funding to $16 million, the Seed and Series A rounds also saw participation by Abstract Ventures, Dynamic Loop Capital, Arkitekt Ventures, as well as angel investments from renowned healthcare and digital insurance pioneers, including Assaf Wand (Founder & CEO, Hippo Insurance), Zach Weinberg, and Nat Turner (Founders, Flatiron Health).
Connie Health transforms the current transactional and complicated brokerage system delivered by local insurance agents, online brokers, or consumers contacting insurance companies directly with an unbiased data-driven and relationship-based concierge service. It streamlines the cumbersome Medicare selection and decision-making process by helping people choose their optimal healthcare plans, find the best doctors available to them, navigate their plans' benefits and the Medicare system.
The company has developed an AI-driven technology platform that is paired with local Medicare experts for personalized human interactions to help simplify the decision-making process for older Americans. Connie Health puts education first to ensure individuals make informed decisions and choose the optimal plan for their needs. The company's local agents are available to answer their questions and guide them through the process to come to the best outcome for their lifestyle and health and will often advise people to stay on the current plan if it's right for their needs.
Oded Eran, Co-founder, and CEO, Connie Health: "Unlike employer-based plans where people have a handful of options, the typical Medicare consumer is faced with hundreds of plans to choose from. Medicare plans are local, and options vary by county. It is therefore vital to work with agents with knowledge of local plans and hospital networks. Our solution enhances this human knowledge with an AI-driven recommendation engine that ranks the hundreds of options available in any locale based on a person's individual needs. The additional funding will allow us to scale this groundbreaking approach nationally and continue to help people make the most of Medicare."
Already in operation in Arizona and now launching in Texas, Connie Health is a win-win for both consumers and agents. Consumers have the choice to enroll in the way that fits their needs and comfort level: either online, by phone with a local agent, or by having an agent visit their home. Once enrolled in a plan, Connie Health users have access to their local Medicare advisor.
Their advisor can help find doctors and specialists, explain their plan's benefits, and provides the type of white-glove service that hasn't been seen in Medicare. Unbiased advice is assured as agents receive the same commission regardless of the insurance company or plan selected.
Thanks to Connie Health's technology and direct-to-consumer model, agents gain access to increased business opportunities through an improved plan selection and enrollment process. The AI-driven recommendation engine has proven to increase conversion rates and save agents time that can be focused on client relationships.
Samir Kaul, Founding General Partner, Khosla Ventures: "55 million Medicare consumers have benefited from major innovation in Medicare Advantage and value-based care, creating numerous new plan and provider options. But there has been less innovation in how to choose and navigate amongst these new options. Connie Heath is a dynamic platform on a significant growth trajectory. We are excited to continue to support a business that is driving outcomes, reducing costs, and empowering Medicare consumers to choose high-performing plans and providers."
This latest investment will be used to improve its recommendations technology further and expand its local agent network in Arizona and Texas. The company also plans to launch in Illinois in 2021 and accelerate national expansion throughout 2022.
The three Co-founders of Connie Health – Oded Eran (CEO), David Luna (Chief Revenue Officer), and Michael Scopa (Chief Growth Officer) – bring dozens of years of Medicare experience. The team previously helped Iora Health build their growth engine, a company changing the primary care market and recently acquired by OneMedical for $2.1 billion.
David Luna, Co-founder and Chief Revenue Officer, Connie Health: "Navigating Medicare is difficult and presents significant financial and care risk to seniors, resulting in higher costs or limitations on the quality of health services they can access. Making the right choice can be life-changing which was the motivation in creating Connie Health. When Medicare is complicated for older Americans to understand, they often elect the status-quo when there are many better plan options available. We are excited to bring this service to consumers across the United States."