ATLANTA, May 15, 2018 /PRNewswire/ -- PriorAuthNow, a platform for connecting the healthcare landscape using prior authorization (ePA) automation, today announced that it has raised a Series A funding round of $10.5 million led by BIP Capital.
PriorAuthNow reduces both the cost and inefficiencies in the healthcare system by decreasing the time required for hospitals to connect with patients' insurance providers to obtain approvals for procedures. Research published by Health Affairs estimates that the annual cost of prior authorization compliance is between $23 billion and $31 billion each year. Additionally, a 2016 survey of more than 300 health providers found that both physicians and support staff spend between five and eight hours a week on prior authorization-related processes.
"We're excited to partner with PriorAuthNow to transform the way the healthcare industry addresses prior authorizations," said Mark Buffington, CEO of BIP Capital. "PriorAuthNow CEO Joe Anstine has done a phenomenal job building a technology company with a sophisticated product that dramatically reduces inefficiencies in a traditionally time-consuming process."
"It's not easy to find a win-win solution in an industry as complex as healthcare technology, but through extensive customer research, we've been able to build something that delivers faster care at a lower price in a way that benefits patients, providers and insurance companies," said PriorAuthNow's Anstine. "We're thrilled to raise this next round of capital to fuel the growth of our company, bringing our product to all the different healthcare markets across the country."
The PriorAuthNow technology significantly reduces the manual time it takes to acquire prior authorizations from several days to a matter of hours, revolutionizing the entire revenue management cycle through its efficiency. With the PriorAuthNow platform, health systems have experienced denial reductions greater than 60 percent related to authorizations.
"PriorAuthNow is a disruptive technology platform that automates a manual process plaguing every health system and provider in the United States. It provides an immediate ROI for hospital executives looking for improved cash flow and revenue cycle," said Sarath Degala, vice president at BIP Capital, who led the PriorAuthNow deal.
PriorAuthNow, Inc. is the leading electronic prior authorization (ePA) solution enabling healthcare providers and payers to leverage a single platform to submit, monitor and complete the prior authorization process. Based in Columbus, Ohio, PriorAuthNow's powerful, secure software works with EMR systems and integrates directly with insurance carriers, making it the fastest, most economical way to handle prior authorizations. The company's platform eliminates the need for lengthy phone calls, cumbersome faxing, going to myriad portals, and filling out the many different authorization forms—saving provider and payer teams countless administrative hours and ultimately improving patient care. For more information visit: www.priorauthnow.com.
About BIP Capital
BIP Capital is recognized as one of the most active and successful venture investors in the Southeast, serving entrepreneurs, investors and operators to grow the emerging company ecosystem. The firm applies experience and process to make investment decisions and operational recommendations, allowing its portfolio companies to achieve and stay on a glide path of growth. Areas of focus include Enterprise SaaS, Healthcare IT, Digital Media, Dev Tools and MarTech. For more information, visit www.bip-capital.com or follow BIP Capital on Twitter @BIPCapital.
SOURCE BIP Capital