‘Concierge Medicine On Steroids’ Startup Raised $40 Million To Disrupt Employer-Sponsored Care
By Katie Jennings, Forbes Staff, Healthcare
MARCH 2021 – Shortly after Glen Tullman resigned as CEO of electronic health records company Allscripts in 2012, he got a call from General Catalyst managing partner Hemant Taneja inviting him to ditch the freezing Chicago winter for sunny Palo Alto. Taneja wanted Tullman to help him reimagine the future of healthcare in the United States. The problem: the country with the highest level of healthcare spending in the world is saddled with a system that is economically untenable and grossly ineffective.
Transcarent looks to overhaul self-insured market
Transcarent is offering at-risk contracts to share in employer savings.
BY Susan Morse, Managing Editor
MARCH 19, 2021 – Livongo founder Glen Tullman is the new CEO of Transcarent, a company that is looking to overhaul the employer-sponsored insurance business by creating a digital platform “overlay” to existing plans.
Transcarent Acquires BridgeHealth; Completes $40 Million Series A Funding
Posted on October 22, 2020
Combined entity will create a better experience and improved outcomes for employees and dependents of self-insured employers by providing greater access, choice, and transparency
DENVER, CO — BridgeHealth, the industry-leading provider of surgical advocacy and centers of excellence (COE) programs for large, self-insured organizations and their members, today announced a merger with Transcarent, a Silicon Valley-based consumer digital health company, as part of a $40 million Series A financing round. BridgeHealth will continue to provide its platform to employers with self-insured group health plans while introducing new high-touch, high-tech navigation services and solutions built using the Transcarent technology stack.
BridgeHealth, founded in 2007, helps members identify high-quality healthcare providers, including many of the country’s leading Centers of Excellence who perform high-quality surgeries at affordable, bundled rates. The company has developed the largest footprint of COEs in the market. With more than 300 pre-negotiated, contracted bundles covering procedures across eight surgical categories, members realize transparency, cost savings, and real choice in making their most important healthcare decisions.
“By partnering with BridgeHealth, Transcarent will be able to greatly accelerate our vision of putting health and care back in the hands of health consumers and enabling them to share in the value their decisions help to create,” said Krishnan Sridharan, President of Transcarent. “Together, our goal is nothing less than to transform healthcare and create a new and different experience that leads to better outcomes and lower costs for employees, dependents, and their employers.”
Transcarent, backed by 7wireVentures, Alta Partners, and General Catalyst, offers a technology layer that provides more choice and transparency, and addresses a broader range of health and care challenges people face in today’s confusing, complex, and costly healthcare system.
“We are thrilled to join forces with such an exceptional team of innovative healthcare entrepreneurs, investors, and thought leaders,” said Jamie Hall, President and CEO of BridgeHealth. “Together with Transcarent, BridgeHealth will continue to deliver great healthcare experiences for the people we serve and measurable value to our plan sponsors while we begin to significantly expand our solutions to the market.”
“Since its inception, BridgeHealth’s vision has been to support individuals with the best possible healthcare at their most vulnerable moments,” said David Calone, co-founder and outgoing Board Chair of BridgeHealth, and Director of Transcarent. “When we started the company, we focused on empowering consumers who needed planned surgeries, knowing that the future of healthcare depended on expanding this value to more people across more of their healthcare choices. We are excited to partner with Transcarent; their leadership and investors bring significant expertise and capital to our shared vision for transforming healthcare.”
To learn more about how BridgeHealth can help your business and your members, visit us here.
BridgeHealth is a provider of value-based healthcare services that guide members to surgical Centers of Excellence nationwide. Its bundled rates allow self-insured group health plans to improve the quality and outcomes of surgery while reducing costs from 30% to 50% on average per procedure. Members are supported through concierge-level care coordination, eliminating the stress of planning and preparing for surgery. Our top-level member experience is evident in our consistent 90+ Net Promoter Scores.
Transcarent, a Silicon Valley-based consumer digital health company, uses a combination of software, technology, and data science to empower consumers with information and access, leading to better outcomes and more cost-effective decisions. We believe that having the right information, tools, and incentives in the decision-making process can be positively transformative in the way we all experience healthcare.
Glen Tullman Joins Transcarent as Chief Executive Officer
Introduces New Transformative Health and Care Platform to Help Improve the Quality and Value of Care, Reduce Waste, and Share Savings Directly with Employees of Self-Insured Employers
March 18, 2021 07:00 AM Eastern Daylight Time
SAN FRANCISCO–(BUSINESS WIRE)–Transcarent, a new consumer-directed health and care platform for employees of self-insured employers and their families, announced today that Glen Tullman has added the role of Chief Executive Officer to his role as Executive Chairman of the Company. Transcarent was created to improve the quality and value of care in America by giving employees and their families greater control over their healthcare decisions and by allowing them to share in the financial benefits of those decisions.
Self-insured employers, who pay for almost half of the healthcare expenditures in the U.S., have seen costs escalate year after year without corresponding improvements in the quality of care. While employers attempt to offer their employees access to best-in-class healthcare services, the result for employees and their families is often fragmented solutions that are confusing to use, complex to understand, and costly to pay for.
Transcarent is a new kind of experience that puts people back in charge of their health and care, providing unbiased information, trusted guidance to better understand their options in care and the associated costs, and easy access to high-value care. Transcarent does this by meeting people where they are through voice to voice talking to a Health Guide, an easy-to-use app, or simply chatting or video-conferencing with a physician, nurse, or pharmacist anytime that’s convenient. What also makes Transcarent different is the true partnership it offers to employers and their employees. For employers, Transcarent provides a risk-based model that fully aligns incentives. And their employees can trust that Transcarent will focus on quality first, provide clear and unbiased information, a full range of choices, and share the rewards that their better health decisions generate.
“Today’s healthcare system is more confusing, more complex, and more costly than ever before. We started Transcarent to make it easier for people to stay healthy and enable employers to empower their employees and their families with unbiased information, trusted guidance, and access to a broader range of choices, which will lead to higher quality and more affordable care,” said Tullman. “As we have all learned in the past year, an efficient and effective system of health and care is vital to our success as a nation and is the cornerstone of a strong economy. I am excited to lead Transcarent as we create a new and different kind of health and care experience for people and a more aligned system for employers and others who pay for care.”
Transcarent combines best-in-class care with a trusted advisor and a personalized, 24/7 experience. Transcarent connects employees via chat, phone, or video to a personal Health Guide or a physician, expert second opinions, medication review and management, virtual physical therapy, and full surgery management. Employees will also have access to the leading Centers of Excellence and Appropriate Site-of-Care offerings, as well as a range of care provided at home rather than in the hospital, which especially given the COVID-19 pandemic, is just what the doctor ordered and what today’s health consumer wants.
Transcarent recently merged with BridgeHealth, the leader in Center of Excellence and Appropriate Site of Care surgical solutions for self-insured employers. BridgeHealth serves 1 million Member lives with more than 160 Centers of Excellence and Ambulatory Surgery Centers, more than 300 pre-negotiated surgical bundles across eight surgical categories, and provides documented improvements in quality of care, resulting in 80 percent lower complications. With a critical focus on the consumer experience, BridgeHealth consistently reports Net Promoter Scores (NPS) above 90, proof that if you focus on quality care and a better experience for the patient, you can also drive lower costs for everyone, including whomever is paying for the surgery.
Transcarent also closed a $40 million Series A round in October 2020, led by Hemant Taneja, Managing Partner of General Catalyst, and Lee Shapiro, Managing Partner of 7wireVentures (of which Tullman is a founder and remains as a Managing Partner). They were joined by Alta Partners and Jove Equity Partners. 7wireVentures and General Catalyst were the first investors in Livongo, Tullman’s prior venture.
“We believe Transcarent will be another game changer,” said Taneja. “With Livongo, we were able to transform the healthcare experience for employees with chronic conditions. At Transcarent, we’re forming true partnerships with self-insured employers by introducing an innovative business model and offering their employees a transformative experience across their most common and most important care needs. It’s an authentic collaboration between the healthcare and technology sectors to usher in consumer-directed innovations in an industry that historically has been slow to evolve.”
Tullman is a long-standing business leader and well-regarded entrepreneur in the healthcare industry, with experience including healthcare systems, electronic prescribing, practice management, and electronic health records. Most recently at Livongo, he focused on empowering people with chronic conditions to live healthier and better lives. Livongo, a company he founded in 2013 and served as CEO and later Executive Chairman, went public in 2019 and became the largest consumer digital health IPO in history. Livongo succeeded by combining a novel, consumer-directed virtual care approach born out of Silicon Valley with a unique understanding of how to navigate the complexities of the healthcare system. Livongo recently merged with Teladoc Health in a transaction valued at $18.5 billion.
Tullman joins a talented team of executives, representing every aspect of the healthcare continuum, including Krishnan Sridharan, President of Transcarent (Aetna, Cigna, UnitedHealthcare); Jeff Dobro, M.D., Chief Innovation Officer (Mercer, One Medical, Willis Towers Watson); Jamie Hall, Chief Commercial Officer (BridgeHealth, BCBSA); Bipin Mistry, M.D., Chief Medical Officer (Remedy Partners, Signify Health); Marin Hoffman, Client Success (Virgin Pulse, Target); Caitlin Fleming, Chief of Staff (Haven, Optum); Vikas Sabnani, Head of Product (Glassdoor, Expedia Group); Owen Tran, Head of Engineering (Points, Switchfly); and John Hallock, Communications (Livongo, athenahealth).
Glen Tullman on joining Transcarent as CEO: Link to Video
Transcarent, a Silicon Valley-based consumer digital health company, is putting people in charge of their health and care experiences. Transcarent created a new consumer-directed health and care platform. Using a combination of software, technology, Health Guides and data science, Transcarent empowers consumers with the kind of unbiased information, trusted guidance and access to high-value care that leads to better care, better outcomes, and more cost-effective decisions and allows Members to share in the benefits of their decisions. Transcarent believes that having the right information, tools, and incentives in the decision-making process can positively transform the way we all experience our health and care.
Categories: DPC News