Just six months after raising $225 million, unicorn health insurer Oscar has scooped up another triple-digit funding round amounting to $140 million. Investors include familiar faces Tiger Global Management, Khosla Ventures and Coatue.
Founded in 2012, Oscar claims to be the first health insurance company built on a full-stack technology platform. It was also one of the first insurers to offer virtual healthcare to its customers, launching the service back in 2014. The company offers its more-than-420,000 members across the United States individual, small group and Medicare Advantage health plans, as well as direct scheduling with its network of physicians and hospitals around the country.
The stated goal is to make high-quality healthcare more affordable for everyone.
Still, like many other digital healthcare companies, business has been booming for Oscar amid the pandemic. The company claims its mobile app is downloaded nine times more often than the average insurer’s, and its annual membership growth has increased by more than 70 percent during the last three years.
Oscar also reportedly partnered with federal officials this spring to build a coronavirus testing website, although that project was scrapped amid concerns about conflicts of interest (the company’s co-founders include White House advisor Jared Kushner’s brother). The company has since launched its own COVID-19 resources page.
This latest funding announcement is hitting right as open insurance enrollment for 2021 closes for much of the U.S. Heading into the new year, Oscar says its services will be available in 18 states and 286 countries. The company is also hiring, with more than 100 open tech positions at its NYC headquarters and offices around the country.
“As we continue to rapidly scale our business, this capital will help us deliver on our commitment to bring accessible and affordable care to even more Oscar members across the country,” said CEO and co-founder Mario Schlosser in a statement.