Last week on-demand healthcare concierge for provider employers Accolade received $50 million in funding led by Andreessen Horowitz, Carrick Capital Partners, Madrona Venture Group, and McKesson Ventures, with participation from Cross Creek Advisors and Madera Technologies.
The company plans to use the money to grow its workforce, look at new market opportunities, and expand its Personalized Advocacy platform.
“We are seeing tremendous momentum across all market segments. Self-insured employers are increasingly taking charge of their health and benefits supply chain, and are looking to work with those that can help deliver personalized solutions for their employees and their families,” Rajeev Singh, Accolade CEO, said in a statement. “This financing round is about expanding our reach to new customers, extending the capabilities of our platform, and further integrating our partners and clinical offerings. At the same time, we’re adding even more brilliant people to our mission-based team, who are all impassioned by improving healthcare in this country.”
Accolade has been growing its technology and product development team and is focusing on building a connected and flexible platform to complement its clinical offerings, according to a statement.
Over the last few years Accolade’s platform has included a suite of benefits including telemedicine services, price transparency, wellness offerings, and specialty health services.
This isn’t the first major funding round for Accolade. In 2016 the company raked in $70 million in a Series E funding round, which was also led by Andreessen Horowitz.
Users can access the platform via a smartphone or tablet, where the service can then guide users through the healthcare system. Individuals who call in can have an assistant guide them through their benefits and help them choose services.
“Accolade is making great progress helping companies tackle one of the biggest problems in corporate America, a healthcare system that costs too much and under-serves the needs of employees and their families,” Jeff Jordan, general partner at Andreessen Horowitz and former CEO of Open Table, said in a statement. “Companies that have deployed Accolade report much higher employee satisfaction with their benefits programs as well as large cost savings. I wish I’d had access to Accolade when I was managing PayPal and OpenTable, implementing it would have been a no-brainer.”