KLAIM, which buys healthcare claims from healthcare providers to alleviate them from cash flow troubles caused by insurance companies, has bagged $1.6m in its pre-Series A round.
Saudi Arabia-based Mad’a Investments served as the lead investor, with commitments also coming from Arzan Venture Capital and Wealth Well. Previous KLAIM backer Techstars also joined the round as well as several unnamed strategic angel investors.
This equity burst will help the InsurTech company to accelerate its growth in Saudi Arabia through digitalising and automating medical bill processing and payments for healthcare providers.
Saudi Arabia’s National Platform for Health Information Exchange Services hopes to develop a new, efficient and modern model to manage the country’s medical insurance financial flows.
KLAIM adds to the ecosystem by empowering hospitals and clinics to reduce claim processing and costs as well as optimise cash flow management. Its technology-powered factoring solution ensures the client can access liquidity upfront.
KLAIM co-founder and CRO Ghafoor Ahmad said, “Rejections and claim payment delays result in losses amounting to millions of dollars annually across the industry. Healthcare providers face business instability in their day-to-day operations: paying salaries, upgrading equipment, and expanding pose greater challenges than they should. We support the industry to provide better care through our innovative blended approach to finance and healthcare.
“The factoring industry is big globally but limited to large companies in the Middle East. We introduced a steep innovation making it tech-enabled and very specific to the needs of Healthcare providers.”
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