OODA Health, a new company focused on removing waste and inefficiency from healthcare administration, has completed a $40.5 million round of Series A funding, led by Oak HC/FT and DFJ.
The company’s strategic partners include Anthem, Blue Cross Blue Shield of Arizona, Blue Shield of California, Zaffre Investments, a subsidiary of Blue Cross Blue Shield of Massachusetts, Dignity Health, and Hill Physicians.
OODA Health was founded by a visionary team with a proven track record in healthcare and technology. OODA Health will transform the healthcare payment system by enabling collaborative, real-time interactions between providers (physicians, hospitals), payers (insurance companies), and members (patients). The company will use the capital to further develop its product platform, expand its team, and deepen and grow its payer and provider relationships.
“We co-founded OODA Health with this amazing team because, having worked with them before, we knew they were the right entrepreneurs to bring groundbreaking innovation to healthcare payments,” said Annie Lamont, Co-Founder and Managing Partner at Oak HC/FT. “We could not be more thrilled to be backing this mission, company and team.” Annie Lamont is also on OODA Health’s board of directors.
“OODA Health will simplify and automate claims processing to create a real-time payment model,” said Giovanni Colella, MD, Co-Founder and CEO, OODA Health. “This will give providers more time to focus on delivering quality care, rather than payment administration and financial management.”
Currently, legacy processes and technologies prevail in healthcare administration, creating friction and animosity between payers, providers, and members. This system is inefficient and incurs high costs. Payers and providers realize that the status quo is unsustainable and it’s time to give members a simplified retail experience in healthcare to match their everyday consumer interactions. They’re partnering with OODA to make this vision a reality.
“I am proud to have co-founded OODA with a team that shares a passion for tackling healthcare’s biggest challenges,” said Seth Cohen, Co-Founder, President and COO, OODA Health. “And, I’m particularly proud of our team’s decision to raise money only from venture firms with at least one female partner.”
Cohen added, “As consumers, we are accustomed to easy, near-instant transactions. But in healthcare, administration is time-consuming and expensive. OODA brings the digital DNA and technological capabilities to enable payers and providers to collaborate and mutually benefit from the efficiencies of a faster, more dynamic healthcare payment system.”