SAN FRANCISCO, CA--(Marketwired - May 23, 2016) -
Clover Health, a software driven health insurance company leveraging data analytics and technology to partner with providers to fill gaps in care and help drive clinical operations workflow, today announced it has raised $160 million in Series C funding. Greenoaks Capital led the round, with partner Benny Peretz joining the Clover Health Board of Directors. The company will use the additional financing to continue scaling its technology and data science platforms, as well as expand into new markets.
"We are excited to back Vivek, Kris, and the team at Clover as they continue to build on what is already the best value proposition and member experience in Medicare Advantage," said Benny Peretz, partner, Greenoaks Capital. "By combining a data-driven approach to improving health outcomes and a genuine desire to delight its members, Clover offers a Medicare Advantage plan that creates a truly positive impact on member health, while delivering a superior member experience and value that continues to get better and better at a rapid pace."
Since its launch, Clover has reinvented the health insurance model by integrating technology into every aspect of its members' care. The company organizes disparate sources of data, such as lab results, prescriptions and EMRs, to identify potential risks and directly fill gaps in care. This allows Clover to take a proactive role in care management, and move beyond 'contractual innovation,' which has created an unsustainable burden upon physicians.
"We believe the return on investment in health insurance should be from helping patients with chronic diseases and preventing the onset of chronic diseases. When we improve health outcomes, it allows us to take those savings and create even better plans for the following year. Patients develop trust with doctors and hospitals, and insurers should be the glue between them instead of creating friction," said Vivek Garipalli, co-founder and CEO, Clover Health. "This new capital provides us with the flexibility to bring our plans into new markets, as well as continue to build out our technology and data science capabilities and build an unmatchable member experience."
"We have invested in building our own tech stack at Clover, which allows us to continuously optimize and innovate on our care coordination activities and surface actionable data about members to our care management team, without relying on outdated technology," said Kris Gale, co-founder and CTO, Clover Health. "As a result of our real-time data feedback loops about members, we can partner with providers to have the highest impact on their health outcomes and make certain that our most at-risk members are receiving the best care possible."
In addition to Greenoaks Capital, existing investors Arena Ventures, First Round Capital, Sequoia Capital and Wildcat Ventures, as well as new investors AME Cloud Ventures, Casdin Capital, FLOODGATE, Nexus Ventures, Refactor Capital, Spark Capital, and individual investors also participated in the round.
"It's extremely rare to find a healthcare company that has created true alignment between the member, the business, and the government. At the heart of Clover, is the mission to make people healthier, reduce the overall cost of healthcare, and pass those savings back to consumers," said Jeff Lo, founder and general partner, Arena Ventures. "By building an enduring business around the idea that the insurer and the customer have the same goals, Clover is constructing a moat that will set it up to become one of the most important healthcare companies of our generation."
Founded in 2012 by serial healthcare entrepreneur Vivek Garipalli and former Yammer head of engineering Kris Gale, Clover Health delivers a lower cost, improved experience for its members, including a $0 monthly premium, $0 co-pay for primary care doctors, $0 payment for generic prescriptions, and enhanced out-of-network benefits.
About Greenoaks Capital
Greenoaks Capital makes long-term concentrated investments in growing, enduring businesses globally. Greenoaks Capital investments include: Coupang in South Korea, Oyo Rooms and Flipkart in India, Deliveroo in the United Kingdom and Maple in the United States.
About Clover Health
Clover Health is reinventing the health insurance model by integrating technology into every aspect of its members' healthcare. The Clover data and analytics platform uses continuous, real-time monitoring to prevent hospital admissions, reduce avoidable spending, and identify and better manage chronic diseases. Built with technology at its core, Clover aggregates and structures data from a wide range of sources -- from lab and radiology results, to customer service interactions and home visits. Clover is headquartered in San Francisco. For more information visit www.cloverhealth.com.