Sep 3, 2024

MedCity News Sounder Benefits Launches To Advance Employee Health Benefits Sounder Benefits, which was built at Redesign Health, launched last week with $7.5 million in funding. The company is a health tech startup specializing in benefits for employers with fewer than 1,000 employees. By Marissa Plescia on September 03, 2024 Share Copy LinkCopy Link Healthcare costs are rising in the U.S. In 2023, the average premium for family coverage was nearly $24,000 per year, a 47% increase from 2013, according to KFF . Sounder Benefits aims to address this problem. The company launched last week with $7.5 million in funding and was built at Redesign Health, an innovation platform. The Boise, Idaho-based company targets employers with less than 1,000 employees. It pairs AI-driven insights with strategic benefits advisory services to help employers design their health benefit plans. The company helps employers create a three-year benefit roadmap and supports them in transitioning to level-funded and self-funded plans (which often provide more savings). It also offers support for human resources teams year-round. Leveraging employee health data, Sounder Benefits also identifies when employees have a particular health need, like cancer support, and then directs them to the solution they need, like cancer care company Jasper Health. For each specialty, Sounder Benefits selects one or two companies to contract with and gives Sounder’s customers access to those solutions. “We want to be able to identify that member at the time that they have an issue because that’s when they’re most receptive to intervention,” said Brian Ancell, CEO and co-founder of Sounder Benefits, in an interview. “By connecting with them at that time, we get them directly into a program that benefits their needs. Of course, it’s always the members in charge. The member gets to decide. It’s their experience. We’re merely making it simpler and easier for them to have the best experience.” Sounder Benefits receives revenue for its services on a per-member-per-month basis. It’s licensed to operate in all 50 states. While it officially launched last week, the company had already been in the market testing its product for about 90 days, Ancell said. There are several other companies that support employers with their health benefits, such as Quantum Health and Accolade. However, many companies in the space are primarily focused on larger employers. While Ancell didn’t name these companies as competitors, he said Sounder Benefits differentiates itself from others in the space by serving small and mid-sized employers. presented by “Everyone wants to target the big companies and help them … but those mid-sized companies are not getting that attention, and for an employee that works for an under 1,000-life company, their typical deductible is 65% higher than for a large company. So taking that $24,000 [family premium], it’s not even buying that much coverage for folks in these under 1,000-life companies. We see that as a significant unmet need in that market.” Sounder Benefits has $7.5 million in seed funding in partnership with Redesign Health. Ancell said the company plans to use the funding for three main areas: building out its executive leadership team and advisory team, investing in its technology and identifying new partners (including health tech solutions, care navigators, care providers and risk management companies). Ultimately, Sounder Benefits aims to give mid-sized employers “the expertise like they would have at a Fortune 50 company,” Ancell said. Photo: Nuthawut Somsuk, Getty Images Topics