Goodbill, a Seattle-based startup, recently raised $2 million in new capital to expand its services aimed at reducing medical costs to patients and insurers. The company focuses on finding errors in hospital bills by analyzing digital medical records and scrutinizing medical claims. Goodbill initially helped individual patients review their bills and seek reimbursement for COVID-19 diagnostic tests from private insurance providers. However, the platform also attracted larger companies with self-funded health plans, prompting Goodbill to expand its services to include these employers and plan administrators.
Goodbill’s initial approach involved analyzing hospital bills after insurers had paid their portion, leaving patients to cover the remaining costs. However, employers and self-funded plan administrators wanted the company to address billing issues upstream before charges were passed on to them. As a result, Goodbill now serves both individual patients and self-funded health plans nationwide. The startup has already partnered with several employers and third-party administrators, covering a total of 50,000 individuals, with the aim of significantly scaling its impact on reducing medical costs.
The $2 million in new funding for Goodbill was backed by investors such as Founders’ Co-op, Maveron, and Liquid 2 Ventures, along with additional unnamed funds and angel investors. The company’s services also include helping patients determine if they qualify for financial assistance, such as discounts or bill waivers provided by nonprofit hospitals. Goodbill’s platform is compatible with major electronic health record vendors and uses artificial intelligence to analyze claims and medical records, with human reviewers verifying the analysis.
Goodbill was founded by Patrick Haig and Ian Sefferman, who previously created MobileDevHQ, a startup that helped app users increase their reach before being acquired in 2014. Haig and Sefferman later started a startup studio in Detroit, with Haig eventually returning to Seattle to focus on Goodbill. While the startup may not be able to fix America’s broken healthcare system, Haig hopes to make a positive impact on reducing medical costs. The complexities of U.S. healthcare billing, which have led to a staggering $220 billion in medical debt, motivate Goodbill to continue working towards improving the system.
Overall, Goodbill’s innovative approach to reducing medical costs for patients and insurers through analyzing hospital bills and medical claims has attracted the attention of both individual patients and larger companies with self-funded health plans. The startup’s expansion to serve both markets nationwide, along with its recent funding raise of $2 million, signals its commitment to making a dent in America’s complex healthcare system. With a team of experienced founders and investors backing its efforts, Goodbill aims to scale its impact on reducing medical costs and helping patients navigate the challenging landscape of healthcare billing and financial assistance programs.
