Thatch secures $40M, provides former UnitedHealthcare CEO as chief progress officer
Thatch, an employer-focused well being advantages platform, has secured $40 million in a Sequence B funding spherical, bringing its complete increase to $84.5 million.
Index Ventures led the spherical, with participation from present traders Andreessen Horowitz (a16z), PeopleTech Companions, Common Catalyst, The Common Partnership and SemperVirens, and new investor ADP Ventures.
The corporate additionally introduced the appointment of Gary Daniels, former CEO of UnitedHealthcare Pacific Northwest, as its new chief progress officer.
WHAT IT DOES
San Francisco-based Thatch offers employers with Particular person Protection Well being Reimbursement Association (ICHRA) advantages plans that permit them to set a tax-free month-to-month allowance for workers to spend on the advantages they select.
Workers select the plans obtainable of their space primarily based on their wants, together with medical, imaginative and prescient and dental, and employers pay a set greenback quantity every month for every worker.
Thatch CEO Chris Ellis mentioned in a LinkedIn submit that the corporate is scaling its providing and increasing its workforce following the increase.
“Medical health insurance in America wasn’t designed for people. It was designed for HR departments. That is why it feels so inflexible. So complicated. So damaged,” Ellis wrote.
“If insurers offered to people, we would have completely totally different merchandise, incentives and experiences. Think about selecting your well being plan such as you select your automotive. Think about preserving it if you swap jobs. Think about it feeling … human. That is the world we’re constructing at Thatch.”
MARKET SNAPSHOT
Final yr, Thatch secured $38 million in a Sequence A funding spherical led by Common Catalyst and Index Ventures, and in 2023, it raised greater than $6 million in funding throughout a pre-seed and seed spherical.
Different firms targeted on the employer advantages market embrace digital psychological well being supplier Lyra Well being, digital healthcare and care and advantages navigation firm Accolade and Personify Well being, which affords well being, navigation, advantages and wellbeing experiences in addition to data-driven personalization.
