Bright Health Raises $160M in Latest Funding Round
Health insurance startup Bright Health announced on Thursday that it raised $160 in a Series B funding round.
The amount is double what the company raised during its first round last April, bringing the total raised to $240 million. Bright Health was vague on how it would use the money, saying only that it would “fuel growth and support its mission to transform the health care system through its Care Partnership model.”
The Minneapolis-based company was founded by two big names in the Twin Cities health care industry: Bob Sheehy (a former CEO of UnitedHealthcare), Kyle Rolfing (cofounder and former CEO of Definity Health and RedBrick Health) and Tom Valdivia (a serial entrepreneur and chief health consumer officer at Definity Health). It offers less-expensive individual health plans tied to a narrow provider network. Its services are currently only available in the Denver metro area through a partnership with Centura Health.
“Bright Health is committed to offering affordable and higher quality health care to individuals and their families,” CEO Sheehy said in a statement. “Our Care Partnership is designed to drive down health care costs, improve clinical outcomes and enhance consumer and provider satisfaction. The result is a reimagined health care experience.”
Maryland- and California-based venture capital firm Greenspring Associates led the round and were joined by new investors Greycroft Partners, Redpoint Ventures and Cross Creek Advisors. Also participating were current investors New Enterprise Associates, Bessemer Venture Partners and Flare Capital Partners.
TCB just named Bright Health as a Company to Watch in 2017 in its June issue.