HaiYiTong Files IPO Prospectus to Pioneer Cross-border Healthcare with Integrated Medical Insurance Services

Cross-border healthcare is often perceived as a cumbersome and complex undertaking, yet it has been quietly gaining momentum in recent years, revealing a remarkably vast market. In 2015, the number of Chinese patients seeking medical treatment abroad reached 69.12 million, while the global figure exceeded 100 million. Imagine that more than 100 million people have chosen to travel to other countries and regions to optimize their medical experience and access advanced healthcare resources.

The Boundaries of Healthcare Are Gradually Dissolving, Driven by the Efforts of Many. Recently, VCBeat (WeChat ID: vcbeat) interviewed a company called Haiyitong, which is dedicated to lowering the barriers to cross-border healthcare and exploring a new blue ocean of mass-market cross-border medical insurance integration.

Hong Kong is a high-quality new option for mainland Chinese residents seeking overseas medical services.It is one of the first regions in Asia to gain access to new medical technologies; drugs approved in the United States and Europe can be launched in Hong Kong within a few months to a year, reflecting its relatively advanced standards of care and technological capabilities.

Moreover, the cost of treatment in Hong Kong is significantly lower than that in Europe, the United States, Japan, and South Korea. Seeking medical care abroad entails not only substantial travel expenses but also requires highly professional assistance for language interpretation, document translation, and communication with physicians, which further drives up costs and limits accessibility to a smaller population.

Haiyitong chose to start its operations in Hong Kong, a region that offers relatively advanced medical standards at comparatively lower costs. “Seeking treatment abroad can incur tens of thousands of yuan in expenses even before leaving the country, whereas with Haiyitong, patients can obtain diagnostic plans from Hong Kong-based physicians for just a few thousand yuan,” Wang Chao, COO of Haiyitong, told VCBeat in an interview.

The company has adoptedDual Headquarters, Tri-Location Division of Laborwith its headquarters in Beijing and Hong Kong, and offices established in Beijing, Shanghai, and Hong Kong. Wang Chao stated that the Haiyitong team was officially founded in 2016, but had already begun facilitating cross-border medical services from mainland China to Hong Kong as early as 2015, thereby accumulating substantial resources.

In the interview, Wang Chao emphasized that Haiyitong is pursuing a path ofCombining Severity Levelsroutes: “light healthcare” services such as vaccinations and health check-ups, and “heavy healthcare” services such as physician appointments and cancer drug consultations.

In the realm of light healthcare, Haiyitong once took some detours: its initial concept was to acquire customers purely through online channels, but the actual results were less than ideal. Later, the company embarked on a transformational exploration in this area by partnering with multiple travel agencies to launch"Medical Travel", combining these lower-cost, less urgent medical services with travel. Through this transformation, Haiyitong has identified a profitable business model within the light healthcare sector.

In the heavy healthcare segment, Haiyitong primarily adoptsCooperation with B-End Enterprisesmethod,Current corporate partners include Jianke.com, JiuYi160, and others.On the one hand, Haiyitong has integrated Hong Kong’s medical resources into its partner platforms, serving as a complement and extension to their services; on the other hand, these partner platforms provide Haiyitong with a significant traffic gateway, creating a mutually beneficial arrangement.

Medical Service Products on the Haiyitong Platform

This April, Haiyitong is scheduled to go live.“Integration of Medical Insurance”services. "Medical expenses, whether incurred in mainland China, abroad, or in Hong Kong, are relatively high. Health insurance is therefore an essential component that must be addressed."

Before the company began developing the Haiyitong product, it spent three months conducting market research. They found that many users in China already had global commercial medical insurance, but there was often a gap between the promises made by many companies when selling insurance and their actions when processing claims. As a result, Haiyitong decided to launch a new service to assist with medical insurance claims. After helping users complete their medical treatment, the platform would also help them identify the relevant insurance companies to secure the compensation they were entitled to. "Creating an ecosystem loop that integrates healthcare and insurance will lead to more comprehensive services and enhance user trust in the Haiyitong brand."

Haiyitong truly migrated its entire platform from offline to online in mid-November 2016, and has since received considerable positive feedback from users.

“Take an example. You know that the bivalent HPV vaccine was only approved in mainland China last year, while Hong Kong has long had the more comprehensive 9-valent vaccine. This vaccine requires a total of three doses. Many of our users brought their sisters along for their second dose after receiving their first dose in Hong Kong, using Haiyitong to access vaccination services in Hong Kong.” Wang Chao looked quite pleased as he spoke to VCBeat (WeChat: vcbeat) about how highly users regard Haiyitong’s services.

“Healthcare may lag behind other industries in technological innovation, resulting in a later adoption of networked and mobile solutions. However,”The Essence of Healthcare Is Service, whether it is making medical resources more accessible online or bringing users to places with better medical conditions, we mustDeliver an Ultimate User Experience。”

When describing the services of Haiyitong, Wang Chao used the term “human-centric.” During user consultations, the Haiyitong team proactively analyzes patients’ medical records and communicates with doctors in Hong Kong to assess eligibility for treatment and determine the appropriate medical specialty. In Hong Kong, Haiyitong also employs customer service specialists to provide meticulous assistance to individuals seeking medical care.

Wang Chao stated that Haiyitong essentially does not charge service fees to users, but instead charges medical institutions that have acquired user sources. The consultation fees paid by users are entirely directed toward medical services, naturally leading to a significant price reduction and making cross-border healthcare more affordable and accessible.

The team members’ resumes are truly impressive., their work experience offers a glimpse into Haiyitong’s core strategy: healthcare as the primary focus, supplemented by project management operations and internet marketing.

Founder Luo Zixuan brings over 10 years of experience in project management, marketing planning, and product promotion, and was previously a co-founder of Amber Physiotherapy. Co-founder Dr. Lau Shun-tung is a Fellow of the Royal College of Physicians and Surgeons of Glasgow, a Fellow of the Hong Kong Academy of Medicine, Convener of the Hong Kong Primary Care Foundation (HKPCF), and Convener of the Hong Kong Specialist Care Foundation (HKSCF), wielding significant influence within Hong Kong’s medical community. Co-founder and COO Wang Chao formerly served as Director at Lashou.com and as O2O Business Director at the ZuBa platform. Co-founder Cong Wei was the founder of Baidu’s overseas sales channel and a co-founder of CTV Internet Video Company, with more than a decade of experience in the internet industry. Other core team members also possess extensive managerial experience in the healthcare and internet sectors.

Co-founder and COO, Wang Chao

If Haiyitong were not a team with such extensive experience and medical resources, the likelihood of successfully facilitating cross-border medical care in Hong Kong would be very low.“Doctors in Hong Kong enjoy generous compensation packages and high social status, so the fees from such ancillary services hold little appeal for them. However, by establishing direct connections with these physicians, we have managed to create a convenient healthcare access channel between mainland China and Hong Kong.”

According to Haiyi Tongtou, the company has completed a RMB 2 million seed financing round. Currently, the teamCurrently raising angel round funding, with millions already secured, the expected financing amount is projected to exceed ten million.

In the future, Haiyitong may consider introducing more consumer healthcare services, such as medical aesthetics and dentistry. The company also plans to acquire over 1,000 seed users in the first half of 2017 and strive to reach break-even by the end of the year. Wang Chao stated that Haiyitong’s current priority remains the continuous improvement and optimization of its products, further promoting this affordable cross-border shared healthcare service.

All data related to the company in this article were provided and confirmed by the interviewee.