VisitPay Raises $15 Million in Series A Funding
Healthcare billing startup VisitPay announced last week that they had closed a $15 million Series A funding round. The company seeks to lower healthcare costs for consumers by improving the billing process.
VisitPay, formerly known as iVinci, is a health IT business founded by a serial entrepreneur with the goal of taking the stress and complexity out of healthcare billing and make the process more transparent for patients and automated for health systems.
The 60-person company plans to use the funding to double in size and build a marketing strategy and support product development, said Kent Ivanoff, VisitPay CEO, in a phone interview.
The funding round boasted participation from Northwest Venture Partners and Ascension Ventures, and the company plans to target integrated health systems as investors and clients.
The company has reported success improving the billing experience for consumers.
“What we were struck by when we started the company in 2010 was that with ACA hospitals were facing a big change in billing but were still using 20th century technology. Our approach was to create an end to end, transparent system to address this issue and help providers and reduce confusion for consumers.” [said Ivanoff]…
Ivanoff claimed that bad debt rates on finance plans created by consumers in VisitPay were 75 percent lower than the bad debt rates on finance plans created in legacy systems.
“We have fixed the underlying billing experience,” he said. “Patients are able to pay more and better than they otherwise would.”