Covera Health Secures $23.5M Series B Funding to Enhance Radiology Diagnostic Accuracy Through Clinical Data Analytics

VCBeat (WeChat ID: vcbeat) learned from foreign media that on January 9, 2020, Covera Health, a U.S. clinical analytics solutions company, announced the completion of a $23.5 million Series B financing round led by Insight Partners, with participation from Prism Ventures.

Covera Health is a pioneering company providing clinical analytics solutions. Founded in 2017 and headquartered in New York, USA, the company has been delivering high-quality solutions to its clients since its inception. These solutions aim to enhance healthcare quality, diagnostic accuracy, and treatment efficacy, thereby reducing misdiagnoses, improving patient outcomes, and lowering healthcare costs.

“The Center of Excellence in Radiology Program” is Covera Health’s first solution. By accessing over 10 years of cases and millions of related data points, it generates comparative data on frequency, types, and potential sources of errors to provide continuous feedback for clinical data analysis, supporting radiologists in enhancing patient care. Currently, the program operates in all 50 U.S. states.

High-quality radiological diagnostics impact the effectiveness of all downstream specialties, from orthopedics to oncology.

Covera Health plans to use the proceeds from this funding round to accelerate its data science R&D efforts, aiming to reduce diagnostic errors through measurement and quantification. The initial focus of the investment will be on radiology. As the business grows, the company will also leverage the funds to further support and expand its first solution, the “Center of Excellence in Radiology” program, which serves health plans, self-insured employers, and strategic partners.

Statistical evidence demonstrates that this protocol can reduce medical misdiagnosis, achieve better treatment outcomes, and lower healthcare expenditures.

Ron Vianu, Founder and CEO of Covera Health, stated, “Medical misdiagnosis is one of the most impactful yet overlooked areas in healthcare. If addressed properly, it holds the potential to improve patient outcomes. Although we are often treated as a commodity, there is meaningful variability in our performance, and we strive to prevent devastating treatment outcomes for patients caused by misdiagnosis.”

Regarding this round of financing, Jeff Horing, Managing Director at Insight, stated: “It is clear that Covera has delivered significant wins for everyone involved. With Covera, radiologists can make accurate diagnoses, enabling patients to receive higher-quality radiology results, which in turn facilitates more appropriate treatment and improves quality of life, while payers can save on all unnecessary medical costs resulting from inaccurate diagnoses. Covera Health is at the center of this dynamic, supportive ecosystem.”

Vianu added, “We are delighted to have the support of Insight. With its impressive track record spanning more than 25 years and hundreds of diverse investments, Insight is uniquely positioned to further advance our mission of delivering trusted, high-quality programs for all stakeholders, including patients, physicians, and employers.”

Previously, on February 19, 2019, Covera Health completed an $8.5 million Series A financing round, with Equity Group Investments as the investor. The funds were used to further develop its technology in the field of radiology.

Insight Partners is a leading global venture capital and private equity firm that invests in high-growth technology and software companies driving industry transformation. Founded in 1995 and headquartered in New York, USA, Insight currently manages over $20 billion in assets and has cumulatively invested in more than 300 companies worldwide.

(Compiled by Yang Xiaohui)