Correction: A previous version of this article misstated who led the investment round.
Clover Health, an insurance startup with a patient engagement bent, has raised $130 million in a round led by existing investor Greenoaks Capital Management. New investors Google Ventures, Palm Drive Capital, and Western Technology Investment and existing investors Sequoia Capital and First Round Capital also contributed. This brings the company's total funding to $425 million and, according to Bloomberg, brings the company's valuation up to $1.2 billion, bestowing "unicorn" status.
Headquartered in San Francisco with an office in Jersey City, Clover is attempting to disrupt the health insurance market by using data analytics and a high touch approach to provide preventative care to patients, keep them out of the hospital, keep them adherent with treatments, and more. The company is targeting the Medicare Advantage market, which makes them somewhat resilient to the uneasy fate of the Affordable Care Act, a spokesperson told MobiHealthNews in an email.
The company declined to be interviewed for this story because they don't consider funding rounds to be especially significant news for the company.
"We view the fundraise as just one event on our company timeline, but are excited about how it provides us with the means necessary to achieve more important milestones on the way to fulfilling our mission of improving lives," a spokesperson wrote.
Ankit Patel, vice president of provider alignment at Clover, spoke at an event in Boston last year. He explained at the time that although Clover operates as an insurance company, its goals are much broader.
"Part of the reason we’re an insurance company, is it’s one of the few institutions that quickly and rapidly has the capacity to give you a 360 degree view of a patient’s healthcare,” he said. “Because everyone wants to get paid and we’re getting charts and bills from the entire health system. Our goal is to partner with primary care physicians and give them a full view into the patient’s clinical background: all the prescription history [and] a problem list. So every time a patient shows up, the doctor has a sense of all the other things that are happening behind the scenes that they might not be aware of."
The company is not currently profitable. It operates in New Jersey but, according to Bloomberg, has plans to expand to three additional states by October.