Hixme

insurtechemployer insurance

FOUNDING YEAR: 2013
LOCATION: United States
Last Update: 01/05/2020

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About

Hixme's technology and service platform was created to guide customers through the burden of taking on financial risks that have nothing to do with their core businesses while at the same time freeing the employee to make the best financial and health decisions possible for their family. This model is only possible due to less well known provisions of the Affordable Care Act (ACA). Hixme's Benefit Workplace Market is an innovative technology-enabled service platform for larger employers providing workers a guided pathway into tailored ownership of their own benefits. The Workplace Market also releases employers from the burdens and restrictions of traditional "Group Pooled" health benefits, but facilitates continued support for the cost of their worker's coverage. Hixme's Workplace Market includes a proprietary benefit-bundling algorithm that creates a precise coverage "Bundle" for each worker and family member. These Hixme benefit "bundles" are composed of carefully matched "Qualified Health Plans" (QHP's), "Gap Insurance" plans, and a unique "Gap Financing" plan. Gap Financing Establishes a healthcare-line-of-credit for all employees. Through Gap Financing, Hixme negotiates, settles, and spreads out-of-pocket cost exposures over 12-month payroll-based repayments. Similar to traditional Employer Group Plans, Hixme establishes simple composite rating, pretax financing for both Employer and Workers, and protects the employer from any ACA related penalties.

MEDICI Analysis

Hixme was created to guide customers through the burden of taking on financial risks that have nothing to do with their core businesses while at the same time freeing the employee to make the best financial and health decisions possible for their family.

Focus

PRODUCTS & SERVICES

Employee benefits plan platform for employers and brokers.

REVENUE MODEL

Various traditional and value sharing sources, mostly recurring

MAIN CLIENTS

Retail Consumers

PRIMARY PROBLEM SOLVED

For Employer: The Hixme Platform can reduce the out-of-control benefit cost inflation, which has increased at 3 times the rate of wages for the last 15 years, by over 10%. The platform eliminates much of the administrative headaches and annual rebidding and restructuring that consumes benefits executives in larger companies. This effort can be re-directed to strategic redesign of future benefits at a macro level. For Workers and their families: Through it's technology-enabled Workplace Market, Hixme offers a dramatic new approach to employee benefits by opening up access for each worker and family member individually to a wealth of retail and personalized options specific to where each lives and works. For the first time, employees won’t be dependent on employers to make this choice for themselves. The result: Under Hixme’s proprietary technology-enabled platform, employees design, choose and then actually own their benefits, which are completely portable but subsidized by their employer.

INTELLECTUAL PROPERTY

Patent(s) NOT_FILED

company provided insights

Traction

REVENUE

$1.0M - $4.99M

REVENUE COMMENT:

20 Enterprise Clients at the end of 2016 representing about 15,000 consumer accounts

NUMBER OF TRANSACTIONS:

1 K

TRANSACTIONS VALUE:

10 M

ACTIVE USERS:

15,000

ACTIVE USERS COMMENT:

The company is a BtoBtoC, where each enterprise purchase is migrated to roughly 500-1000 consumer purchasers over the course of the 1st year of entriprise relationship. There after renewed monthly on a mostly subscription basis, on a consumer basis.

People

FOUNDERS

Dan Peate

BOARD MEMBERS AND ADVISORS

Andrew Pitz

NUMBER OF EMPLOYEES

11-50

INVESTORS:

Kleiner Perkins Caufield & Byers

Momentum

FUNDED

YES

TOTAL FUNDING

$23.95 M

DATE OF LAST FUNDING

Oct 2016

SEED & PRIOR FUNDING

$287.5 K

SEED CLOSED ON

Sep 2013

FUNDING SERIES

SERIES A  · $9.56 M  · Jan 2016

SERIES B  · $14.1 M  · Oct 2016

LISTED

NO

For Investors

FUNDING NEEDED:

$0.00

MONTHS LEFT WITH CURRENT CASH BURN RATE:

18 months from 18 Dec, 2016

BASICS

FOUNDING YEAR:

2013

LOCATION:

United States

Views:

405 VISITORS | 839 VIEWS
LATEST FUNDING ROUND

$23.9 M

TOTAL EMPLOYEES
11-50

About

Hixme's technology and service platform was created to guide customers through the burden of taking on financial risks that have nothing to do with their core businesses while at the same time freeing the employee to make the best financial and health decisions possible for their family. This model is only possible due to less well known provisions of the Affordable Care Act (ACA). Hixme's Benefit Workplace Market is an innovative technology-enabled service platform for larger employers providing workers a guided pathway into tailored ownership of their own benefits. The Workplace Market also releases employers from the burdens and restrictions of traditional "Group Pooled" health benefits, but facilitates continued support for the cost of their worker's coverage. Hixme's Workplace Market includes a proprietary benefit-bundling algorithm that creates a precise coverage "Bundle" for each worker and family member. These Hixme benefit "bundles" are composed of carefully matched "Qualified Health Plans" (QHP's), "Gap Insurance" plans, and a unique "Gap Financing" plan. Gap Financing Establishes a healthcare-line-of-credit for all employees. Through Gap Financing, Hixme negotiates, settles, and spreads out-of-pocket cost exposures over 12-month payroll-based repayments. Similar to traditional Employer Group Plans, Hixme establishes simple composite rating, pretax financing for both Employer and Workers, and protects the employer from any ACA related penalties.

Subscribe to the MEDICI Inner Circle Membership and gain access to an exclusive Slack community where you can engage in discussions with global industry experts!

MEDICI Analysis

Hixme was created to guide customers through the burden of taking on financial risks that have nothing to do with their core businesses while at the same time freeing the employee to make the best financial and health decisions possible for their family.

Focus+
Momentum+
Traction+
People+
For Investors+
Other+

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Hixme

About

Hixme's technology and service platform was created to guide customers through the burden of taking on financial risks that have nothing to do with their core businesses while at the same time freeing the employee to make the best financial and health decisions possible for their family. This model is only possible due to less well known provisions of the Affordable Care Act (ACA). Hixme's Benefit Workplace Market is an innovative technology-enabled service platform for larger employers providing workers a guided pathway into tailored ownership of their own benefits. The Workplace Market also releases employers from the burdens and restrictions of traditional "Group Pooled" health benefits, but facilitates continued support for the cost of their worker's coverage. Hixme's Workplace Market includes a proprietary benefit-bundling algorithm that creates a precise coverage "Bundle" for each worker and family member. These Hixme benefit "bundles" are composed of carefully matched "Qualified Health Plans" (QHP's), "Gap Insurance" plans, and a unique "Gap Financing" plan. Gap Financing Establishes a healthcare-line-of-credit for all employees. Through Gap Financing, Hixme negotiates, settles, and spreads out-of-pocket cost exposures over 12-month payroll-based repayments. Similar to traditional Employer Group Plans, Hixme establishes simple composite rating, pretax financing for both Employer and Workers, and protects the employer from any ACA related penalties.

Focus

PRODUCTS & SERVICES

Employee benefits plan platform for employers and brokers.

REVENUE MODEL

Various traditional and value sharing sources, mostly recurring

TOP PROBLEM SOLVED

For Employer: The Hixme Platform can reduce the out-of-control benefit cost inflation, which has increased at 3 times the rate of wages for the last 15 years, by over 10%. The platform eliminates much of the administrative headaches and annual rebidding and restructuring that consumes benefits executives in larger companies. This effort can be re-directed to strategic redesign of future benefits at a macro level. For Workers and their families: Through it's technology-enabled Workplace Market, Hixme offers a dramatic new approach to employee benefits by opening up access for each worker and family member individually to a wealth of retail and personalized options specific to where each lives and works. For the first time, employees won’t be dependent on employers to make this choice for themselves. The result: Under Hixme’s proprietary technology-enabled platform, employees design, choose and then actually own their benefits, which are completely portable but subsidized by their employer.

PRODUCT DEVELOPMENT STAGE

V2.0 or BEYOND

PRODUCT DEVELOPMENT COMMENT

Unique "Bundles" that replace ineffective global benefits with custom created collections of benefits, unique for each worker and family member. Created real-time as each worker interacts with the Hixme Platform each Open Enrollment

KEY DIFFERENTIATORS

1) Personal Ownership of completely portable Employer Funded Benefits 2) Benefit dollars from Employer can be directed to an entire array of personal and lifetyle household expenses far beyond the traditional and limited health or insurance realated coverages

PRIMARY CUSTOMER TYPE

Enterprise - Others

Consumer

STRATEGIC CLIENTS AND PARTNERSHIP

Confidential : Large Tech bank managing hundreds of thousands of monthly transations

Confidential : Startup Corporate Payday loan provider

Confidential : Exclusive License for On-Line Technology that provides Bilateral FInancial balance discounting and settlement

People

FOUNDERS

Dan Peate

NUMBER OF EMPLOYEES

11-50

KEY EMPLOYEES:

CEO: Denny Weinberg

CTO: Amir Pirnia

CMO: Chris Pliha

COO: Erik Wissig

CRO: Chris Pliha

FOUNDER: Dan Peate

BOARD MEMBERS AND ADVISORS:

Andrew Pitz

INVESTORS:

Kleiner Perkins Caufield & Byers

Momentum

FUNDED

YES

TOTAL FUNDING:

$26.1 M

LISTED

NO

FUNDING SERIES
Seed Sep 2013 --- USD1.8 M at a USD1.8 Mvaluation Comment on Seed Multiple investors including CEO.

Comment on Valuation

Startup Series A Nov 2014 --- USD10.2 M at a USD28 Mvaluation Comment on Series A Establishing Tech platform, Product prototypes, and a few early adopter/pilots

Comment on Valuation

Post Money Kleiner Perkins Caufield Series B Sep 2016 --- USD14.1 M at a USD50 Mvaluation

Comment on Valuation

Post Money Propel Venture Partners Transamerica Ventures Kleiner Perkins Caufield Rosemark Smart Capital