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Insurer Centene pours capital in Hazel Health in $33.5M funding round

Insurer Centene pours capital in Hazel Health in $33.5M funding round
Insurer Centene pours capital in Hazel Health in $33.5M funding round

Telemedicine startup Hazel Health has apparently raised close to USD 33.5 million, through a series C funding round, led by insurer Centene, Owl Ventures, Bain Capital as well as other investors. For the uninitiated, the company delivers school-based virtual medical care and mental healthcare for children studying in grade school. When the schools shut down due to the COVID pandemic this season, the company promptly shifted to providing home access.

The five year old startup will use the funding to expand its services fivefold this fall, as it will provide services in schools across districts along with a combined enrollment of 1.5 million children.

Josh Golomb, CEO, Hazel Health, has been quoted to state that they’re building something called ‘Hazel at Home’, whereon one can be privy to a doctor’s visit from the comfort of their home through a laptop, or Chromebook, or even from a cell phone. The company is thrilled to observe that what they’ve created is in very high demand and much needed in this time of crisis, Golumb continued.

The last summer in the U.S. has witnessed some of biggest deals amid prominent healthcare leaders. Humana for instance, poured in a substantial USD 100 million in Heal, the telemedicine and home care startup.

Teladoc, the nation’s largest telemedicine provider, forged a deal worth USD 18.5 billion to purchase digital health coaching provider Livongo. Amwell has already filed to go public this fall, backed by Google that has committed to investing USD 100 million in its Class C shares. Further, digital mental health coaching company Ginger has raised USD 50 million from investors such as the venture arms of Kaiser Permanente and Cigna.

Partnering with a Medicaid insurer like Centene provides a lucrative opportunity for Hazel Health to expand its service portfolio to more low-income families, and ensure that their kids are given the proper access to pediatricians who can provide them with in-person as well virtual care.

Source Credits: https://www.cnbc.com/2020/09/01/insurer-centene-invests-in-start-up-hazel-health-in-33point5-million-venture-funding-round.html

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Sunil Jha

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