- A crop of health insurance startups - Oscar Health, Devoted Health, Bright Health, and Clover Health - have raised a combined $1.3 billion in the last year to use technology to build new kinds of health-insurance plans.
- We took a look at expansion plans and first-quarter 2019 financials for the four startups.
- The financial results were mixed, with some of the startups posting profits right off the bat and others posting losses, financial filings show.
- The filings and other reporting by Business Insider shed light on the companies' plans to start selling their health insurance in more areas of the US.
- Visit Business Insider's homepage for more stories.
Health insurance startups just came out with their first-quarter financial results for 2019.
The startups are taking on some of the biggest companies in the US, like UnitedHealth Group and CVS Health. They're trying to get a foothold in massive insurance markets, with the bet that technology can help them provide better care to their members.
Business Insider looked through regulatory filings of four startups - Oscar Health, Devoted Health, Bright Health, and Clover Health - to get a sense of how the startups fared. Devoted's results were the the first financials since the company launched health plans at the start of 2019 in Florida.
The results were mixed, with Oscar and Bright reporting profits and Devoted and Clover posting losses. Bright Health's enrollment more than doubled, while Oscar and Clover also increased their membership, but at a slower clip. The startups mainly sell health insurance to individuals in the Affordable Care Act's markets and to seniors in the form of Medicare Advantage health plans.
The filings also reveal the startups' plans to expand their geographic footprints in the coming years.
The companies have been raising funds from investors to support their growth. In August, Oscar Health raised $375 million from Alphabet as it gears up to get into the Medicare Advantage market in 2020. Devoted Health in October raised $300 million in a round led by Andreessen Horowitz ahead of launching its first Medicare Advantage plans in Florida in 2019.
Bright Health, a Minneapolis startup that provides individual and Medicare Advantage plans, in November raised $200 million. Clover Health in January raised $500 million in a round led by Greenoaks Capital.
The slides below have more information about each company's funding, financials, and expansion plans.