Bright Health closes $635M Series D led by NEA to offer health insurance plans directly to consumers

Bright Health, a diversified consumer-focused healthcare startup company, has closed $635 million Series D funding round to support its aggressive growth and hiring as the company continues to strategically expand across products, geographies and consumer bases. The company previously raised a $200M Series C (November of 2018), $160M Series B (May of 2017) and an $80M Series A (April of 2016).

The round, which was led by NEA, with follow-on investments from: Bessemer Venture Partners, Cross Creek Advisors, Declaration Partners, Flare Capital Partners, Greenspring Associates, Meritech Capital, Redpoint Ventures and Town Hall Ventures, brings the total raised to over a billion dollars in equity financing since early 2016.

Founded in 2015 by Kyle Rolfing, Robert John Sheehy, and Tom Valdivia, the Minneapolis, Minnesota-based Bright Health provides its health insurance plans directly to consumers via broker partners, and through public and private health insurance exchanges.

“Real transformation will require disruption at every stage of the healthcare system and Bright Health designed its model with this in mind,” said Mike Mikan, President and Vice Chairman of Bright Health. “By eliminating the friction that has traditionally existed between payers and providers, we are creating true alignment to drive down costs and improve health outcomes. This funding will bring us one step closer to creating a value-based healthcare system that streamlines the healthcare experience for the consumer.”

“This marks NEA’s fourth consecutive financing supporting Bright Health, demonstrating our unbridled enthusiastic conviction for this company,” said Mohamad Makhzoumi, General Partner and head of healthcare services and healthcare IT investing at NEA. “Bright Health is changing the face of healthcare in America by putting patients first; it is our great privilege to continue supporting the Company and NEA is committed to their plans for future growth.”

“The Series D funding marks not only a major investment in our company’s future but is an affirmation from our existing investors that we have tapped into an unmet consumer demand for a better healthcare experience,” said Bright Health CEO, Bob Sheehy. “Over the past four years, we have seen exceptional interest in our approach to transforming healthcare, which is reflected in our investors’ continued capital support, membership growth and geographic expansion year-over-year.”