Loading organizations...
§ Private Profile · New York City, NY, USA
Health plan administrator building and running health plans for employers, self-insured companies, unions, and school districts.
Based in New York, New York, Flume Health is a healthcare administration company that builds and manages digital health plans for self-insured employers, unions, and school districts. The organization functions as an insurance administrator by pre-approving medical prices, facilitating on-demand payments, and streamlining claims data integrations to provide transparent employee benefits. By offering infrastructure for payers to integrate point solutions, the platform assists organizations in managing rising healthcare premiums and launching customized coverage options. As of 2019, the enterprise had secured $4 million in total venture funding and provided administrative services to an initial base of eight institutional and enterprise customers. The company's early financial backing comes from institutional investors including Primary Venture Partners, Accomplice, Founder Collective, and the Entrepreneurs Roundtable Accelerator. Flume Health was founded in 2017 by Cédric Kovacs-Johnson and Vineeth Bhuvanagiri.
Flume Health has raised $44.0M across 4 funding rounds.
Flume Health has raised $44.0M in total across 4 funding rounds.
Flume Health has raised $44.0M across 4 funding rounds. Most recently, it raised $30.0M Series A in March 2022.
| Date | Round | Lead Investors | Other Investors | Status |
|---|---|---|---|---|
| Mar 1, 2022 | $30M Series A | Optum Ventures | 2XN, Founder Collective, LocalGlobe, OWL Ventures, TLcom Capital, Vinyl Capital, Andrew Bialecki, Dave Balter, Accomplice, Cigna Ventures, Crosslink Capital, Primary Venture Partners, Remarkable Ventures, Route 66 Ventures | Announced |
| May 1, 2021 | $6M Seed | Gabby Contro | Alpaca VC, Amino Capital, Andreessen Horowitz, Asymmetric Capital Partners, B Capital Group, Flexcap, Forum Ventures, Kleiner Perkins, Long Journey Ventures, Pioneer Fund, Prototype Capital, Revolution Growth, SV Angel, Adrian Aoun, James Watt, Johnny Boufarhat, SUE XU, Ryan Simonetti, Accomplice, Founder Collective, Primary Venture Partners, Route 66 Ventures | Announced |
| May 2, 2019 | $4M Venture Round | — | TJ Mahony, Entrepreneurs Roundtable Accelerator, Founder Collective, Primary Venture Partners | Announced |
| Apr 1, 2019 | $4M Seed | — | 2XN, Founder Collective, LocalGlobe, OWL Ventures, TLcom Capital, Vinyl Capital, Andrew Bialecki, Dave Balter | Announced |
Flume Health is a New York-based software company founded in 2018 that builds a cloud-native platform to connect fragmented healthcare data ecosystems, enabling payers, third-party administrators (TPAs), self-funded health organizations, and vendors to automate data exchange, integrations, and workflows.[1][2][4] Its core products, including Flume Relay (for seamless data orchestration across systems) and Flume OS (a health-plan-as-a-service platform), solve administrative inefficiencies by accelerating health plan launches from months to as little as six months, reducing costs, and supporting scalable, interoperable operations.[3][4][7] Flume serves health plans, payers, TPAs, and solution vendors like Firefly Health and Radion Health, streamlining data types such as claims, eligibility, and authorizations while ensuring HIPAA compliance and AI-enhanced transformations.[2][5][7] With over $40M raised (including a $30M Series A in 2022 led by Optum Ventures and Cigna Ventures) and 37% employee growth in the past year, Flume demonstrates strong momentum in modernizing legacy healthcare infrastructure.[3][4]
Flume Health was founded in 2018 to address systemic inefficiencies in healthcare administration, initially launching as a tech-forward administrator for employers to self-insure and design health plans faster than traditional TPAs reliant on manual systems.[3][4][9] The company pivoted in 2021 with the release of Flume OS, expanding from its core payment and claims platform (Flume Core) into a full health-plan-as-a-service solution that handles billing, benefits, and integrations—gaining early traction with startups like Firefly Health and Hue Health.[3][7] Key leadership includes Chief Customer Officer Kevin Schlotman, who emphasizes leveraging modern technology for seamless, cost-effective TPA solutions.[6] This evolution positioned Flume as a vital enabler for challenger health plans, backed by rapid investor validation: its Series A was Optum Ventures' fastest due diligence process ever.[4]
Flume stands out in healthcare tech through its focus on automation, interoperability, and scalability in a fragmented industry:
These features reduce administrative complexity, enabling clients like Firefly Health to launch plans "twice as good at half the price."[7]
Flume rides the wave of healthcare digitization and value-based care, where payers and startups demand faster, personalized plans amid rising costs and interoperability mandates like HIPAA and emerging regulations.[1][2] Its timing aligns with the shift from legacy TPAs—often stuck on manual processes—to cloud-native stacks, fueled by post-pandemic telehealth growth and AI adoption in admin workflows.[3][5] Market forces favoring Flume include exploding demand for self-funded employer plans and challenger providers (e.g., Firefly, Hue), plus investor appetite from health incumbents like Optum and Cigna seeking tech disruptors.[4][7] By bridging legacy and modern systems, Flume influences the ecosystem as a "data layer" standard, empowering vendors and payers to collaborate efficiently and accelerate affordable care models.[2][3]
Flume is poised to dominate as the go-to integration layer for next-gen health plans, with expansion into AI-driven personalization and deeper vendor networks likely next amid regulatory pushes for data liquidity.[2][5] Trends like rising self-insurance (projected to hit 80% of large employers) and AI in claims processing will amplify its growth, potentially doubling traction as more startups like Firefly scale.[3][7] Its influence may evolve from enabler to ecosystem orchestrator, challenging TPA giants and unlocking interoperable care—cementing Flume as the backbone for efficient, modern health benefits administration.[1][4]
Flume Health has raised $44.0M in total across 4 funding rounds.
Flume Health's investors include Optum Ventures, 2xN, Founder Collective, LocalGlobe, Owl Ventures, TLcom Capital, Vinyl Capital, Andrew Bialecki, Dave Balter, Accomplice, Cigna Ventures, Crosslink Capital.