Sana Benefits, a supervisor of self-funded insurance prepare for small businesses, said it has raised $20.8 million in a current round of financing as it aims to roll up all of the most recent startup health benefit providers into a practical package for small businesses. Self-financed insurance coverage strategies are established by companies to pay of pocket for their employees’health care and are typically less expensive, since employers can decide on which services they use.
According to Sana Health co-founder Will Young, the majority of business end up costs excessive because they buy off-the-shelf plans from the huge insurance companies like United Health care, Anthem Blue Cross Blue Guard, Aetna, Cigna or Humana.
The business touts collaborations with start-ups like Beam Dental for oral coverage, PlushCare for telemedicine, Calm and Ginger.io for mental wellness, ClassPass for fitness and Maven Center for maternity care.
Its pitch drew in the attention of Gigafund, Trust Ventures and mark vc, which can be found in to back the company’s $20.8 million Series A round.
“Sana’s disruptive design for health insurance empowers small companies to both cut costs and improve staff member benefits,” said Stephen Oskoui, managing partner of Gigafund, in a declaration. “Our company believe that just a win-win service like Sana can make a genuine damage in the healthcare crisis.”
What do workers get? Sana’s plans vary from health insurance offerings with a $4,000 deductible and $6,650 in out of pocket maximum payments of $6,650 to a $0 deductible strategy with a $1,250 out of pocket optimum expenditure for people.
“We conserve our clients 20% on what they would get on a standard plan,” according to Young. “From the point of view of our client business. Self-insured ways technically the business is providing insurance and purchasing insurance coverage itself.”
The business earns money by managing the health insurance prepare for customers and directs and distributes the plans. It currently runs in Texas and Kentucky, with strategies to bring its services to Illinois later on this year.
Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.