Paris-based startup Alan, Europe’s first digital health insurance company, has raised a Series B round of funding of $45 million (€40 million). The round was led by Index Ventures, with participation from partners of DST Global. This series B follows a $28 million seed round closed just 10 months ago.
Alan founded in 2015, is a software-as-a-service startup tackling the health insurance market in France — and soon across Europe. It aims to develop a well-designed insurance product with transparent pricing and policies to make healthcare more accessible. The startup has also obtained an official health insurance license and is the first new health insurance company in France in 30 years.
In France, every employee is covered by the national healthcare system for basic reimbursements as well as a private insurance company for more expensive treatments. Further, the insurance industry in France has neglected those products as they usually don’t generate a lot of margins on that segment. And it creates a huge market opportunity for Alan.
With today’s funding announcement, the health insurance startup has shared some numbers. In 2018 alone, the company grew from 5,000 insured people to 27,000, with revenues reaching $25 million (from €3.5 million to €22 million). Alan has been focused on freelancers as well as SMEs, such as My Little Paris, Le Slip Français, Ledger and Converteo.
We are always looking at ways to make the experience as seamless as possible, co-founder and CEO Jean-Charles Samuelian told TechCrunch. “We’re trying to make the insurance process instantaneous, from quotes to coverage and reimbursements.”
Moreover, the startup is close to break-even right now with 64 employees. Following today’s funding round, the company focusing to hire more people for its platform. There should be around 175 people working for Alan by the end of 2019.