DexCare, the AI Powered Healthcare Access Facilitator, Raises $50M to Develop

DexCare, Inc. a data-driven intelligence company focused on healthcare access, announced January 13th the closing of a $50M Series B funding led by Transformation Capital, with participation from all existing investors, Kaiser Permanente, Providence Ventures, Mass General Brigham, Define Ventures, Frist Cressey Ventures, and SpringRock Ventures. 

“Hospitals are moving to hybrid care and need a single solution to attract new patients and to connect them both virtually and in-person with their own caregivers,” said Derek Streat, Co-founder and CEO of DexCare. “This investment will help us accelerate platform development and go-to-market progress for our growing number of premier health systems such as Kaiser Permanente, Providence, Mass General Brigham, CHS, Houston Methodist and others.”

What does DexCare provide the patients and healthcare system

DexCare is a Platform-as-a-Service (PaaS) for health systems that intelligently orchestrates digital demand and health system capacity. DexCare has developed an enterprise-grade real-time demand aggregation and appointment booking platform across all lines of care. Health systems across the country have implemented DexCare to expand access to care in more intelligent and data-driven ways that meet the needs of patients while achieving a more balanced and operationally efficient utilization of their resources. In 2021, DexCare expanded its platform to power access across a variety of applications including:

• Health systems: large, national health systems, mid-sized regionals, and academic centers
• Care modalities: video, phone, in-person, on-demand, scheduled
• Service lines: same-day care, urgent care, primary care, specialty care

Incubated at Providence, one of the nation’s largest and most innovative health systems, DexCare has enabled service lines to attract 30% more new patients, capture 5x downstream revenue, generate 22% per patient encounter in costs savings, and deliver a net promoter satisfaction score greater than 90. DexCare customers include leading health systems across the U.S. 

At home care spares money and keeps more hospital beds available for emergencies

But why is it so important to know exactly what degree of occupancy hospitals have, what is available in the system, and exactly what type of care patients need? 

For one, the coronavirus pandemic made every empty hospital bed a rare commodity. Also, the population gets increasingly older, with the baby boomers more and more dependent on care. If, a few decades ago, house calls had almost become obsolete, dropping to less than 0.5% by 1995, the payment restructuring, mobile technology, and a gradual increase in the elderly population more recently boosted demand for this type of care. 

At-home care becomes important, especially in the current pandemic, not only instead of or before going to the hospital, but also after being hospitalized, since both patients and hospitals need to keep costs under check. Can we improve care without increasing the price? Yes! Medicare has created several bundled payment programs for specific conditions. One good example is the hip and knee replacement program. Patients go through a preparatory class for recovery several days before the procedure happens, and often there is no hospitalization. It is a same-day surgery with home care services. Physical therapy takes place in the patient’s home the week after the procedure. The success of these procedures has improved, and the cost has declined.

The new funds will be used to support and accelerate DexCare’s growth 

This is why solutions like the one DexCare offers become not only more needed but also interesting for investors. In less than one year, DexCare has closed two oversubscribed funding rounds totaling $71M to date.

This last round comes in time to further the company’s development. Derek Streat, Co-founder, and CEO of DexCare said Transformation Capital’s digital health focus will help them achieve these goals along with our current line-up of top healthcare-focused partners.

The new funds will be used to support and accelerate DexCare’s growth with investments in product and technology innovation, customer experience, and recruiting world-class talent. The funding also enables DexCare to meet customer demand to expand into additional new service lines and care modalities.

“DexCare brings a comprehensive patient access and intake platform to health systems,” said Todd Cozzens, Co-founder and Managing Partner at Transformation Capital. “Competition for patients is a major issue in 2022 for hospitals. DexCare’s integration with social media drives access to new patients, books an immediate televisit with specialist care providers, and secures virtual and in-person appointments and follow-up maximizing the health system’s own providers. A must-have tool in our new world of hybrid care.”

“We understand the impact of the DexCare solution to expand access for digitally-enabled care in a manner that balances and optimizes demand with provider availability. We are excited to invest in DexCare as we believe it addresses a pressing and persistent need for health systems,” said Liz Rockett, Managing Director, Kaiser Permanente Ventures.

Focused digital health applications and interoperable operating systems for better care

The new money comes amid a COVID-driven ‘great awakening’ that recognizes the value of consumer-facing health technologies in delivering high-quality, affordable, on-demand care. With DexCare’s technology, the combination of focused digital health applications and interoperable operating systems will unlock significant opportunities to deliver targeted, cost-effective, personalized care that produces optimal outcomes for all parties involved.

“DexCare was essential in digitally transforming our ambulatory care model to better serve the needs of patients and was also a key part of Providence’s digital response to COVID,” said Aaron Martin, Executive Vice President, and Chief Digital Officer, Providence. “We’re excited that the platform incubated by the Digital Innovation Group, and that has added so much value to Providence over several years, is seeing such an enthusiastic reception from other health systems. We’re looking forward to the innovations the DexCare team will deliver to customers as a result of this latest fundraise.”

About DexCare

DexCare is a Platform-as-a-Service (PaaS) for health systems that intelligently orchestrates digital demand and health system capacity across all lines of care. In a complex and vast sea of virtual point solutions, DexCare is the operating system that makes it all work. DexCare’s data-driven intelligence engine allocates, flexes, and optimizes resources to best meet both consumer demand and health system business goals—expanding the reach of health system service lines into a new, digital and on-demand consumer arena. The platform attracts and caters to high-value consumers by providing a fully-digitized, unified experience that routes consumers to the best care options while leveraging existing EMR, caregiver, and brand investments.