Courageous Well being raises $40M for Medicaid-focused digital psychological healthcare

Digital psychological well being firm Courageous Well being scooped up $40 million in a Collection C funding spherical led by City Corridor Ventures.

Present buyers, together with Union Sq. Ventures and Metropolis Gentle Capital, additionally participated, bringing the startup’s whole funding pot to $60 million. Courageous final introduced a $10 million Collection B a couple of yr in the past.

WHAT IT DOES

Courageous gives digital remedy, psychiatry and drugs administration for psychological well being issues and substance use problems. The corporate, which launched with well being plans in Florida in 2019, focuses on the Medicaid market.

Courageous now affords companies in 18 states, and earlier this summer time introduced it had entered into its first value-based care association with Molina Healthcare of Texas. It additionally just lately partnered with the Doula Community, a service that pairs pregnant Medicaid sufferers with doulas with a view to supply maternal psychological healthcare.

The digital psychological healthcare supplier stated it can use the capital from the Collection C spherical so as to add extra value-based care contracts, increase in new and current markets, and proceed to construct out its know-how and information infrastructure. 

“Innovation in Medicaid care supply and reimbursement fashions is vital for our healthcare system,” Anna Lindow, cofounder and CEO of Courageous Well being, stated in a press release. “Right this moment, we’re energized by the passion from our forward-looking buyers and well being plan companions round this purpose.”

MARKET SNAPSHOT

Psychological well being continues to be a main scientific space for digital well being funding because the nation manages the affect of the COVID-19 pandemic and a scarcity of psychological well being clinicians. 

In response to a problem transient by the Kaiser Household Basis, Medicaid performs an necessary function in offering entry to behavioral healthcare. In 2020, this system coated 23% of nonelderly adults with a psychological sickness, 26% of them with a severe psychological sickness and 22% with substance use dysfunction. Medicaid coated solely 18% of the final nonelderly inhabitants.

One other teletherapy and psychiatry firm, Smart Care, just lately raised $13 million in Collection A funding. It plans to make use of the funding to increase in states with giant populations of sufferers coated below TRICARE, well being plans for navy service members and their households.

Iris Telehealth, which affords digital remedy and psychiatric care by way of partnerships with suppliers like well being techniques, hospitals and neighborhood well being facilities, introduced a $40 million Collection B this spring.