HealthCare.com raises $7.5M from former Priceline execs for health plan shopping tool

By Aditi Pai
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HealthCare.comHealthCare.com, not to be confused with the federal government's HealthCare.gov, raised $7.5 million from Jeffery H. Boyd, former CEO of Priceline, and Robert J. Mylod, former CFO of Priceline.

The website helps consumers compare the cost of different healthcare plans. HealthCare.com offers comparisons of the state-based exchange plans, federal exchange plans and many private, off-exchange plans.

The company aggregates these healthcare plans from public and private sources, develops tools to help consumers pick the plan that's right for them, and then provides consumers with several purchase options -- online, over the phone, or with a licensed insurance agent. HealthCare.com generates revenue by connecting consumers with insurance agencies and carriers and also through targeted advertising.

The website added its price comparison tool just a few months ago. It also announced a tax subsidy calculator that estimates potential financial aid from the federal government; a tax penalty calculator to measure how much tax would be due if someone decided not to buy health insurance; and a shopping guide to compare various insurance plans. At the time, the company said it offered 200 carriers and more than 90,000 health insurance plans.

“HealthCare.com is the 'Kayak' for health insurance purchases – the most comprehensive health website in the marketplace, offering simple resources to help individuals select the best health plan for them,” HealthCare.com CEO and cofounder Jeff Smedsrud said at the time. “Our goal is to become a destination website for a variety of healthcare searches, similar to how travel or real estate websites aggregate thousands of options with a few clicks."

Earlier this year, HealthCare.com raised $2 million in a founders round of financing.

HealthCare.com's announcement comes just a day after the federal government's HealthCare.gov site was updated to include a new feature that offers consumers detailed information about health insurance plans offered in their area before they apply for health insurance. To use the feature, consumers will be asked to enter some personal information, such as their location and family size. From there, consumers can compare health insurance plans and get an estimate on how much financial assistance they qualify for.