Zipari, a provider of health insurance customer engagement via a digital platform, raised $22.5 million. Early-stage venture capital firm – Vertical Venture Partners led the Series B round. The round saw participation from Health Velocity Capital, Healthworx (the healthcare investment and innovation arm of CareFirst BlueCross BlueShield), and Horizon Healthcare Services (Horizon).
The company plans to utilize the proceeds from the Series B funding to broaden the distribution channels, partner integrations, and scale-up the development of products range with strategic innovations.
In May, Zipari launched CX Engagement Hub, which provides payers with two key capabilities:
• Attach a value to their cross-departmental goals for each member;
• Orchestrate and prioritize engagement via a consumer’s preferred communication channel.
“We’re proud to have completed our Series B round, which will allow us to build on the momentum we’ve experienced over the past five years. Driven by demand for a solution that provides personalized member engagement for health insurance, and for a return on investment that maximizes the value of members using next-best actions to improve health and reduce operational expenses, Zipari now serves 18 health insurance carriers; more than 13 million members using Zipari products.”, said Mark Nathan, CEO and Founder of Zipari stated in the company press release.
David Schwab, Founder and Managing Director of Vertical Venture Partners commented, “In my experience, the tech startups that sell into specific vertical industries, such as healthcare or health insurance, are better at solving the considerable challenges facing their respective industry. Zipari’s product portfolio streamlines the health plans internal processes, which ultimately frees up resources to enable better, more personalized customer experience and care.” in a published press release.
Venture capital funding that went into similar digital health patient engagement technology companies in 2019 came in at $84 million, according to Mercom’s Q4 and 2019 Annual Digital Health Funding and M&A report.