EGYPT – Sehatech, a prominent healthtech startup headquartered in Egypt, has scooped up US$850,000 in a pre-seed funding round to expand access to third-party administrator (TPA) health services using technology.
Sehatech is making waves as a game-changer in the TPA industry, aligning with its mission of leveraging proprietary technology to digitize and automate the relationship between insurers and healthcare service providers.
The new round of investment will help Sehatech to digitize the relations between insurers and healthcare service providers, including claim and approval management processes, known as third-party administration.
The pre-seed funding round saw participation from strategic investors, including the venture capital firm A15 and Beltone Venture Capital, a subsidiary of Beltone Holding Company.
In an official statement, Bassem Raafat, Principal at A15, said: “We are excited to partner with Sehatech as they bring a much-needed technological advancement to the medical insurance industry.”
Beltone Venture Capital is a leading financial services provider with a multi-decade track record of success in countries of the Middle East and North Africa (MENA).
Comparably, A15 is a reputable VC investment fund that specializes in funding early-stage start-ups in the MENA region, with a special focus on Egypt, during their pre-seed and seed stages.
Backed by A15 and Beltone Venture Capital, Sehatech inches closer to realizing its soul mission to transform the healthcare industry in Egypt.
Sehatech will use the fresh funds to invest in talent acquisition, accelerate product development, and enhance customer service.
Notably, Sehatech was founded by Mostafa Tarek, Mohamed Elshabrawy, and Omar Shawky in 2022 with the goal of automating medical approvals, claims processing, and the billing cycle.
Sehatech operates a health finance platform focused on streamlining communication and monetary transactions between stakeholders in the Egyptian healthcare market.
The healthtech startup offers a fully digital third-party administration service specifically designed to manage health insurance policies and programs on behalf of risk carriers or self-funded schemes.
Additionally, the Egyptian startup leverages its innovative technology-driven solution to manage personal health policies.
Its incorporation of Artificial Intelligence-driven and automated modules drops the hefty operational cost while maintaining a high degree of vigilance towards fraud and abuse.
Using a sophisticated rule-based engine, Sehatech aims to minimize money lost by medical insurers due to manual errors, fraud, waste, and abuse.
Sehatech is uniquely positioned to use its health finance platform to play a key part in improving healthcare outcomes for patients.
Commenting on the latest funding round, Bassem Raafat stated: “Their innovative approach will not only improve the efficiency of medical insurance policies administration but also enable a better healthcare experience for patients in Egypt and beyond.”
This funding round is a timely engagement as the current process of administering a medical insurance policy is labour-intensive, time-consuming, and prone to fraud and errors.
Sehatech’s digital platform seeks to bridge the gap in the medical insurance industry by providing appropriate transparency, quick processing times, and highly accurate claim settlements.
With the latest funding round, Sehatech will empower third-party administrators with technology to help process the health claims raised.
This move will further contribute to concerted efforts to streamline administrative operations and timely payment settlements for healthcare providers and reduce loss ratios for insurers.
By eliminating manual processes, Sehatech will pave the way for a seamless and frictionless experience for both patients and healthcare service providers.
On his part, Founder and Chief Executive Officer of Sehatech, Mohamed Elshabrawy, said: “Digitizing the TPA industry will have a significant social impact on the way millions of patients consume healthcare services, making healthcare more accessible and affordable for everyone.”
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