Level largely functions as a third-party administrator for employers it helps transition to a self-funded model. Where Level differs from most TPAs is that the company operates and manages its own network of providers, in addition to providing claims processing and other administrative functions.
As healthcare spending continues to rise, a greater proportion of employers are turning to self-funding as a mechanism to gain more control over their costs and benefit offerings. The same trend line holds true for the dental industry, which has more than 500 million annual visits that cost more than $100 billion. However, for the most part, self-funding dental benefits have only been possible for large Fortune 500 corporations.
A new startup called Level launched this month to help small and medium-sized businesses take more control over their dental benefits spending by transitioning to a self-funded model supported by a platform offering a more consumer-friendly experience through technology.
The 20-person startup is based in New York and is backed by investors like First Round Capital and Homebrew VC. Level – which currently works with companies like San Francisco-based Intercom – focuses on employers with between 50 and a few thousand employees.Read Complete Article