Thatch, an employer-focused well being advantages platform, has secured $40 million in a Sequence B investment spherical, bringing its general lift to $84.5 million.
Index Ventures led the spherical, with participation from current buyers 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 leader expansion officer.
WHAT IT DOES
San Francisco-based Thatch supplies employers with Particular person Protection Well being Compensation Association (ICHRA) advantages plans that let them to set a tax-free per month allowance for workers to spend on the advantages they make a selection.
Workers make a selection the plans to be had of their house in accordance with their wishes, together with clinical, imaginative and prescient and dental, and employers pay a suite buck quantity each and every month for each and every worker.
Thatch CEO Chris Ellis stated in a LinkedIn post that the corporate is scaling its providing and increasing its personnel following the lift.
“Medical insurance in The us wasn’t designed for people. It used to be designed for HR departments. That is why it feels so inflexible. So complicated. So damaged,” Ellis wrote.
“If insurers bought to folks, we might have completely other merchandise, incentives and reports. Consider opting for your well being plan like you select your automobile. Consider holding it whilst you transfer jobs. Consider it feeling … human. That is the international we are development at Thatch.”
MARKET SNAPSHOT
Final yr, Thatch secured $38 million in a Sequence A investment spherical led via Common Catalyst and Index Ventures, and in 2023, it raised greater than $6 million in investment throughout a pre-seed and seed spherical.
Different firms targeted at the employer advantages marketplace come with virtual psychological well being supplier Lyra Well being, digital healthcare and care and advantages navigation corporate Accolade and Personify Well being, which gives well being, navigation, advantages and wellbeing reports in addition to data-driven personalization.
