Healthcare
See the 16-slide presentation a former Uber exec used to raise $25 million to tackle the growing in-home care market
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- MedArrive works with EMS companies, hospitals, and insurance plans to offer in-home care.
- It raised $25 million in Series A funding led by Section 32 on Wednesday.
- See the 16-slide presentation the startup used to raise the funding.
Dan Trigub and Inna Plumb are betting that one major pandemic-induced healthcare trend will stick around.
In 2020, Trigub, who used to run the health division at Uber, and Plumb, a former venture capitalist, joined forces to start MedArrive, a digital-health company that works with hospitals, nurses, insurance companies, and emergency medical services companies to facilitate healthcare visits in patients’ homes.
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On Wednesday, the duo announced that the company, which has about 20 full-time employees, raised $25 million in Series A funding. Section 32 led the round, which included participation from new investor 7wireVentures and MedArrive’s existing investors Kleiner Perkins, Define Ventures, and Redesign Health. SCAN Health Plan, a MedArrive customer, also invested in the company.
MedArrive distinguishes itself from its direct-to-consumer competitors such as Ro, which acquired the on-demand nursing platform Workpath in December, by working directly with hospitals, insurance plans, and other digital-health companies instead of selling its healthcare services to patients who then pay in full up front. Trigub explained that many MedArrive patients are on Medicare Advantage or Medicaid managed plans and therefore don’t always have the means to navigate new mobile apps or pay out of pocket for healthcare.
Similar to telemedicine software startups like Wheel, MedArrive also offers its software to insurance companies like Bright Health to run what Trigub calls the “backbone” of home-care management. The software handles the logistics of sending an EMT or paramedic to a patient’s home for nonemergency care, creates an efficient route for the EMT between different patient visits, and holds all of the visit details in a single place for easy access during and after the appointment, he said. In the case of Bright, patients would never know they were using MedArrive because the software and personnel all have Bright logos or T-shirts.
“It’s not the idea that you download an app and get a person there in a few minutes on demand,” Trigub told Insider. “We are focused on building a deep relationship with health systems and providers to extend their care beyond the hospitals.”
MedArrive’s network of EMTs, paramedics, and hospital staff allow it to staff up or down depending on a hospital or insurance plan’s needs, Trigub explained. The healthcare providers are not directly employed by MedArrive and are still employees of the hospitals or EMS companies. The partnerships with EMS companies also mean that the company can help hospitals in rural areas just as easily as urban areas because the employees are already in place, and MedArrive doesn’t need to go out and recruit more people for its network. MedArrive primarily focuses on EMTs and paramedics because they are trained to administer a range of medical care beyond what they usually use for emergency services, Trigub said.
“Dan was unique in recognizing the number of different things that the EMTs could provide and that they are localized networks that can work in all kinds of regions and territories,” the Section 32 managing partner Andy Harrison told Insider.
MedArrive provided Insider with the presentation it used to raise $25 million in Series A funding from Section 32, 7wireVentures, Kleiner Perkins, Define Ventures, Redesign Health, and SCAN Health Plan, among others. The presentation was lightly edited to remove sensitive financial information, details about some customers, and software intellectual property before publication by Insider.
See the 16-slide presentation MedArrive used to raise $25 million in Series A funding.
MedArrive is a digital-health startup that facilitates in-home care on behalf of hospitals, insurance plans, and primary-care doctors using proprietary software and its network of EMTs and paramedics.
MedArrive
MedArrive’s software allows doctors to offer telemedicine visits paired with in-home visits from trained professionals like EMTs and paramedics, depending on the severity of a patient’s condition. An EMT would be dispatched to take vitals, for example, while a paramedic might be dispatched to conduct blood tests, the cofounder Dan Trigub told Insider. The company also works with nurses in some areas in which it operates and plans to continue bringing on higher-trained medical professionals in the future.
MedArrive
Unlike some of its competitors, MedArrive works directly with healthcare companies and organizations like hospitals, clinics, and insurance plans. Trigub explained that the strategy helps reach patients on Medicare Advantage or Medicaid managed plans who might not be able to afford out-of-pocket costs associated with some direct-to-consumer companies.
MedArrive
Trigub said that, while an important component of a rapidly changing healthcare environment, telemedicine visits do not accomplish all patients’ and doctors’ needs. But pairing virtual visits with on-site visits combines what he sees as the best of access and cost of care.
MedArrive
MedArrive has primarily focused its services on patients who are on Medicare Advantage plans, Trigub said, because that group tends to cost hospitals and healthcare companies more when they visit the emergency room. By seeing those patients at home, healthcare professionals can get a better idea of other underlying factors, like access to reliable transportation or evidence of substance abuse, to develop an effective treatment plan. It is also cheaper to treat patients at home instead of an emergency-department setting, Trigub said.
MedArrive
Trigub said MedArrive is reimbursed for its services through insurance plans like traditional healthcare companies. But it also uses a value-based payment when working directly with doctors, meaning MedArrive is paid only when the patients’ overall conditions improve.
MedArrive
Trigub and Plumb both predict that future hospitals will only contain emergency, intensive-care, and operating departments. Other care could eventually occur in a patient’s home, and MedArrive is working to expand its network of care professionals beyond EMTs and paramedics to include higher-acuity professionals like registered nurses or nurse practitioners, Trigub said.
MedArrive
MedArrive operates in Florida, Texas, New Jersey, North Carolina, and California, with plans to begin operating in new parts of those states as well as in Arizona, Indiana, and Illinois. The company did not disclose how many customers or partnerships it has.
MedArrive
Trigub and Plumb have hired leaders from healthcare and consumer-technology companies to build MedArrive, including a veteran of Epic and Microsoft’s healthcare initiative, Jonathan D’Souza, as its chief technology officer.
MedArrive
The company was first spun out of Redesign Health, an accelerator program for early-stage healthcare companies. Plumb joined MedArrive early on from her role at Redesign and has continued to recruit investors and insiders from the healthcare and technology industries as advisors.
MedArrive
Trigub explained that MedArrive has three primary stakeholders: patients, doctors and hospitals, and the healthcare professionals who conduct the visits.
MedArrive
Trigub credited the COVID-19 pandemic with a shift in expectations for patients, doctors, and other healthcare professionals. Instead of accepting how things had always been done, all three groups became more comfortable with trying new strategies that reduced health risks but allowed doctors’ visits and testing to continue when in-person access was limited.
MedArrive
The funding will help MedArrive hire new engineering and sales employees, Trigub said.
MedArrive
Through its partnership with Bright Health, MedArrive has facilitated hundreds of visits per week, according to Plumb.
MedArrive
One of MedArrive’s earliest customers was Scan Health Plans, which offers Medicare Advantage plans in its marketplace. It invested in MedArrive in 2021 alongside other private investors after its experience as a customer, Trigub said.
MedArrive
MedArrive also worked with the Los Angeles County Department of Public Health to offer in-home COVID-19 vaccinations to some of the county’s home-bound population, Trigub said.
MedArrive