11 Apr, 2023, 09:00 ET
New funding led by Cobalt Ventures will support continued business growth and expansion of health plan relationships
IRVING, Texas, April 11, 2023 /PRNewswire/ -- Mobile-integrated care management platform company MedArrive today announced $8 million in new funding led by Cobalt Ventures, a wholly owned subsidiary of Blue Cross and Blue Shield of Kansas City (Blue KC). The investment follows MedArrive's $25 million series A round in November 2021 and brings the company's total funding to $40.5 million to date.
MedArrive supports both adult and pediatric populations, providing a white-labeled care management solution that powers care into the home – often for the hardest-to-reach, disengaged and most-vulnerable populations. It connects providers and payers with MedArrive's field provider network of highly trained and skilled paramedics, EMTs and other healthcare professionals. These field providers visit the homes of patients or members on behalf of their provider or health plan, providing a mix of in-home healthcare services, diagnostics, health assessments, post-acute care and other preventive health measures – while also addressing social care needs like transportation, mobility or nutrition assistance.
When higher-acuity care is needed, field providers will connect people with physician-led telehealth services. The MedArrive platform also includes integrations with a growing ecosystem of specialized partners, which allows field providers to bring even more care services into the home such as virtual behavioral health, retinal screening and maternity care.
"MedArrive has quickly become a leader in delivering healthcare at home solutions with a unique platform and agile workforce that helps lower cost of care for health plans while building trust, improving access to care and driving better outcomes for their members," said David Eichler, Managing Partner of Cobalt Ventures.
"Everyone in America has a right to inclusive, high-quality care, yet too many are left out and have no one on their side who can connect them to the system. That's what the MedArrive platform and our field providers offer - a trusted and compassionate bridge into the homes of the people who need care the most and at the right time," said MedArrive CEO and Co-founder Dan Trigub. "The work we are doing with dedicated healthcare organizations, who are committed to health equity, is what drives our team every day, and we are honored to receive this strategic investment from Cobalt Ventures."
In a few years, MedArrive has built an impressive list of customers – especially with managed Medicaid health plans – demonstrating a significant ability to improve the health of very at-risk populations while also lowering costs. For example, in a collaboration with Molina Healthcare of Texas, MedArrive helped Molina's members navigate the healthcare system, connected them with resources that improved their health and quality of life, and facilitated more care in an appropriate setting.
In the first phase of the program, MedArrive drove 74% member engagement and a 20% reduction in ED usage; created a 5% improvement in member retention; surfaced undocumented social determinants of health (SDOH) needs in 32% of visits; reduced hospitalizations by 50%; and garnered a 90+ NPS.
MedArrive also led a variety of successful home-health programs with Bright Health, and several Centene plans including Superior HealthPlan (Texas), and HealthNet (California) among others. The company's capital-efficient model has become attractive for payers, providers and investors alike who are all looking to leverage a growing home-health market. McKinsey predicted that approximately $265 billion worth of healthcare services could shift into the home by 2025. At the same time, payers and risk-based providers are looking for proven ways to reduce costs associated with at-risk populations, like those on Medicaid. Research has shown that nearly 50% of Medicaid patients will visit the ED at least once a year, which is about 4 times more than commercial patients.
With its proven ability to deliver outcomes and this new investment, MedArrive plans to use the new investment to expand its payer relationships, build out its team and platform, and scale its business into new markets.
MedArrive enables healthcare providers and payors to power care services into the home, leveraging a fully integrated care management platform that bridges the virtual care gap with physician-led telemedicine combined with our network of EMS professionals.
MedArrive's holistic care model, network of field providers, and technology serve vulnerable populations in their homes, building patient self-advocacy, lowering the total cost of care, and reconnecting the unengaged back to primary care. This unique approach gives patients access to trusted medical expertise by utilizing an untapped workforce, ultimately ensuring continuity of care, better patient outcomes, and significant cost savings for payers and providers alike.
MedArrive has a national network of thousands of highly skilled EMS providers in its national network. Services span dozens of clinical use cases, including chronic condition management, transitional care, readmission prevention, urgent care, vaccinations, palliative care, and more. For more information, visit medarrive.com.
About Cobalt Ventures
Cobalt Ventures, LLC is the strategic venture capital arm of Blue Cross and Blue Shield of Kansas City, the largest not-for-profit health insurer in Missouri and the only not-for-profit commercial health insurer in Kansas City. Cobalt invests in high growth companies that align with Blue KC's mission and can scale nationally across the payer industry. Cobalt actively partners with entrepreneurs in bringing innovative solutions to healthcare that increase overall quality, improve outcomes, and lower costs for customers and members. More information about Cobalt Ventures can be found at http://www.cobalt-ventures.com.
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