Rivet, a healthcare revenue cycle management software startup, raised $8.25 million in a Series A funding round led by Menlo Ventures and return backers Lux Capital and Pelion Venture Partners.
The company plans to use the new funds to enhance the capabilities of its cost transparency and end-to-end patient billing platform that helps both patients and providers better manage healthcare costs.
According to the company, currently, patients discover the cost of care up to 60 days after their doctor visits via traditional mail. From there, patients often have to call or log in to an antiquated online portal to reconcile their bills.
The Rivet platform enables providers to give patients upfront pricing estimates with the ability to pay before or shortly after receiving care in a way that is convenient to them, even via email or text. For patients, the platform provides a fast and accurate estimate of their healthcare costs before services are rendered, complete with automated insights into health insurance coverage and deductibles.
The platform also leverages machine learning to help providers navigate the complex process that grants “in-network” status with insurance companies.
Rivet’s reimbursement contract management tool allows providers to easily track and audit their payer contracts while also benchmarking what competitive rates should be from plan to plan.
“At its core, Rivet’s cloud-based platform is modernizing an antiquated system that has been used for more than two decades and is ripe for innovation,” said Croom Beatty, a principal at Menlo Ventures joining the Rivet board. “This is a massive breakthrough in an industry that loses 30–60% inpatient revenue by being unable to collect the debt. With Rivet, not only do patients know exactly how much they’ll be paying for care and have an easier way to pay, but healthcare providers have better insight into their billing processes to make sure they are being compensated appropriately for their services.”
“The current healthcare system is not working for either the patient or the healthcare providers. This investment is proof that our investors are committed to fixing a broken system,” said Ted Ferrin, co-founder, and CEO of Rivet. “This funding will help us continue building products that can be seamlessly integrated into the current system to empower both healthcare providers and patients by improving transparency.”
Image Credit: Rivet