Yuanxin Huibao Secures $7.2M Series A Led by Sequoia China, Focusing on Post-Issuance Health Insurance Services

On July 8, VCBeat (WeChat ID: vcbeat) learned that Beijing Yuanxin Huibao Technology Co., Ltd. (“Yuanxin Huibao”), a member company of Yuanxin Technology, announced the completion of its RMB 50 million Series A financing round. The round was led by Sequoia Capital China, with Qingming Ventures participating as a co-investor.

As a health insurance technology company, Beijing Yuanxin Huibao Technology Co., Ltd. focuses on insurance products for critical illnesses and chronic diseases. Leveraging its professional expertise in “healthcare + insurance,” the company provides users with more reliable medical and pharmaceutical services, while offering insurance companies solutions in areas such as actuarial pricing, risk control, customer acquisition, and user retention.

In terms of business model, Yuanxin Huibao leverages its internet hospital platform and drug delivery resources covering nearly 500 Grade A tertiary and oncology hospitals nationwide. By integrating a multi-layered review process that combines “online + offline,” “in-hospital + out-of-hospital,” and “system + professional personnel” approaches, it provides policy underwriting services to insurance companies. This ensures both the timeliness of reviews and the compliance of prescriptions at the time of claims, as well as the authenticity of related documentation, thereby helping insurers mitigate claims risks and achieve reasonable cost control.

Currently, Yuanxin Huibao has established in-depth collaborations with multiple medical companies and pharmaceutical enterprises, possessing service delivery capabilities in “genetic screening, health check-ups, overseas medical care, online consultations, medication services, and post-diagnosis management.”

Yuanxin Huibao targets the existing market by refining users’ core needs and leveraging its professional capabilities in product integration and design. It provides insurance companies with optimal service pricing, facilitates the development of higher-quality insurance products, and ensures that users truly benefit from reasonable services and effective medical coverage.

In the realms of insurance customization and risk assessment, Yuanxin Huibao establishes incidence rate models based on dimensions such as gender, age, and geographic region for various diseases. Simultaneously, it develops disease progression models focusing on aspects like treatment protocols, metastasis, median survival time, and recurrence rates for the same conditions. By utilizing these incidence rate and disease progression models as benchmarks for insurance pricing and risk evaluation, Yuanxin Huibao enhances the precision of health insurance risk assessments, thereby effectively improving actuarial accuracy and the rationality of associated services.

While integrating insurance and healthcare services, Yuanxin Huibao further consolidates and reallocates “online + offline” service scenarios to deliver precise user traffic for insurance products. By reducing customer acquisition costs, it has further lowered insurance premiums and boosted sales volume.

Currently, Yuanxin Huibao has established multiple professional service departments covering medicine and pharmacy, insurance, and big data. Its core team members are drawn from the management teams of the insurance, medical, and pharmaceutical industries, bringing extensive industry experience and operational expertise. This enables the company to achieve closed-loop management of its “healthcare + insurance” services, add high-value-added services to insurance products, and create a win-win insurance protection ecosystem for all stakeholders.

In this regard, Peng Xuan, COO of Yuanxin Huibao, stated that under the national strategy of “Healthy China,” China’s commercial health insurance industry is ushering in new historical opportunities. The health insurance market has maintained a high annual growth rate of 39% for five consecutive years, with the compound annual growth rate (CAGR) of internet-based health insurance reaching 108% in 2018.

As public health awareness rises, users are not only more price-sensitive toward health insurance but also increasingly demand value-added services. Health insurance serves as a financial reserve for managing future disease risks; while it provides compensation, greater value lies in helping users prevent illness or, if they do fall ill, ensuring access to high-quality medical resources to prevent condition deterioration.

Yuanxin Huibao is dedicated to focusing on post-issuance services for health insurance policies. Leveraging Miaoshou Doctor’s existing high-quality pharmaceutical resources, it also links, shares, and integrates other premium medical and pharmaceutical resources. Through the “Insurance + Internet Hospital + Offline Pharmacy” model, it enables more users to access superior health services.

Zhai Jia, Managing Director at Sequoia Capital China, stated, “From the Yuanxin Huibao team’s precise grasp of industry trends to their meticulous execution of every task, we have been impressed by their high level of professionalism and diligent work ethic in the health insurance sector. We are confident that they will deliver truly valuable services. Sequoia Capital will continue to monitor and support Yuanxin Huibao’s development, helping the company optimize the industrial landscape while pursuing commercial value and leading industry advancement.”

Stella, Partner at Qiming Venture Partners, stated that with the rapid growth of commercial health insurance, Yuanxin Huibao not only provides users with in-depth health insurance services but also truly creates product value for health insurance. Qiming will remain bullish on Yuanxin Huibao’s competitiveness and long-term value within the industry. Driven by data and service, and leveraging the Miaoshou platform, Yuanxin Huibao is poised for rapid development in the health insurance sector.