Sidecar Health Secures $165 Million in Funding for Healthcare Transparency and Empowerment Initiative

Sidecar Health, a startup focused on providing price transparency and direct payments for healthcare services, has announced that it has raised $165 million in Series D financing. Koch Disruptive Technologies led the round, with participation from Cathay Innovation, GreatPoint Ventures, Morpheus, Drive Capital, Duke University, BOND, and Menlo Ventures. In addition to the funding, Koch Industries will provide medical insurance coverage through Sidecar for a segment of its workforce in 2025 and collaborate with the company to co-design insurance coverage for large employers.

Sidecar Health offers members the ability to customize their annual healthcare coverage and opt for prescription coverage through their app. Plans are designed with no coinsurance or copays, giving members more control over their care decisions and unprecedented transparency. The company’s approach is based on self-pay service rates and a built-in price comparison tool that allows members to select services from local providers. Currently available in Ohio and Georgia, Sidecar plans to use the new funding to expand into Florida.

David Mauney, managing director of Koch Disruptive Technologies expressed his excitement about working with Sidecar Health to accelerate commercial expansion in 2024 and beyond. He praised the company’s model for providing consumers with control over their care decisions and offering unprecedented transparency and tools. Mauney emphasized the need for transformation in the US health insurance system and believes that Sidecar Health’s model can make a significant impact by empowering consumers to make informed decisions about their healthcare needs.