When we meet founders for the first time, one of the things that’s most important to us is the “why” behind their startup. It’s always exciting to us when that “why” stems from having experienced the pain that they are addressing firsthand and when the mission of the company is a personal one. Within the healthcare industry, where we’ve made a number of investments, many founding teams have compelling personal stories that led them down the path of starting a company to democratize access to better care, reduce costs and improve outcomes. But what stood out about the team at Noyo is that they had actually done it before within the context of another company and now wanted to tackle the same problem for the entire healthcare insurance industry.
That made it easy for us to agree to lead Noyo’s seed financing, which it is announcing today. Noyo is building infrastructure that will power the next generation of health insurance platforms. By modernizing the industry’s core infrastructure, Noyo is helping to reduce the cost of delivering health insurance and to improve the overall experience, benefiting consumers, employers, brokers and carriers. Noyo is starting by streamlining benefits enrollment, a critical process in the healthcare insurance industry. We’re thrilled to partner with the Noyo team, alongside our friends at Fika Ventures, Precursor Ventures and Core Innovation Capital, as it works to health care affordable for everyone.
WHO: Shannon Goggin and Dennis Lee helped build the integrations that Zenefits needed to programmatically communicate with its carrier partners. They saw the process, data quality and cost challenges that a benefits broker like Zenefits, and its carrier partners, faced as the business scaled. And they knew that Zenefits wasn’t alone in facing this pain. So they started Noyo with the goal of trying to move the entire industry to a next-generation insurance platform that can provide the efficiency, integrity and simplicity needed to reduce overall costs and improve the consumer experience of health care insurance.
WHAT: Noyo is a modern API platform for the health insurance industry. It provides flexible, carrier-agnostic APIs that facilitate fast, accurate, and secure data exchange between benefits platforms and insurance carriers. Instead of manual data entry, custom-coded EDI files and cumbersome legacy systems, benefits platforms and insurance carriers can get connected quickly using Noyo’s best-in-class technology designed to provide the real-time transparency consumers deserve.
HOW: Insurance infrastructure is plagued by disconnected systems and divergent data formats. No central, universal standard that keeps data in sync across all systems exists. Noyo has partnered with some of the most forward-thinking companies in the health insurance space to build a comprehensive, standardized digital platform that will power the next generation of benefits platforms and consumer shopping experiences. Insurance brokers, benefits platforms and insurance carriers are all flocking to Noyo because more accurate data exchange is a must-have for moving the industry forward.
WHY: Healthcare is changing quickly and the consumer experience for insurance is no different. Discovering, enrolling in and managing healthcare insurance is becoming less frustrating and painful. But the fundamental infrastructure of the industry needs to change if the consumer expectations for speed, simplicity and value are to be met. In addition, reducing the nearly $3.7 trillion dollars in healthcare spending can only happen if healthcare data is managed more efficiently and accurately. This is where Noyo is focused.
Noyo is based in San Francisco and Durham, NC. If you’re excited about joining a mission-driven team that is working to change the cost structure and experience of health care, check out their open positions.