CLARA analytics Raises $25M in Series B Funding to Transform Commercial Insurance
CLARA analytics, the leading provider of artificial intelligence (AI) technology in the commercial insurance industry, today announced that it closed $25 million in Series B funding, bringing its total funding to $36.5 million. The round was led by growth equity firm Aspen Capital Group with participation from Series A lead Oak HC/FT and additional investors. CLARA will use the funds to extend its product suite, attract critical industry talent, and expand its global reach.
CLARA analytics uses both structured and unstructured data to unlock relevant seeds of knowledge from medical notes, bills, and other documents and bring them into a cross-industry data lake to generate valuable predictions and other insights for claims teams. CLARA’s suite of AI-based software, which includes CLARA claims, CLARA providers, CLARA litigation as well as its Medicare Set-Aside solution, is used by some of the world’s leading insurers, including Berkshire Hathaway Homestate Companies, EMC Insurance, Amerisure, and QBE Insurance.
“We are reshaping the entire claims process by analyzing millions of data points and generating meaningful and actionable insights in a matter of seconds,” says CLARA analytics CEO Gary Hagmueller. “With this funding, we’re excited to expand our team and extend into new product areas and markets and to have Aspen Capital Group as a new investor on that journey.”
CLARA is rapidly growing by saving insurers and employers millions of dollars in workers compensation claims. A share of those claims starts out routinely but rapidly increases in cost and severity due to unexpected medical and legal expenses. CLARA’s products use AI to accurately identify these hard-to-detect claims much earlier and more effectively than conventional techniques.
The new financing is ideally timed, as COVID-19-related disruptions have generated rising interest in CLARA’s approach. Insurers are looking for new tools and additional data to navigate rapid changes in claims, litigation, and health care delivery, which the National Council on Compensation Insurance estimates could add upwards of $81.5 billion to the cost of workers compensation claims across the 38 states on which it tracks data. By leveraging CLARA’s cross-industry data lake and AI capabilities, organizations gain instant access to deeper data and insights, so they can make faster, more calculated decisions that adapt to today’s changing conditions. Adjusters, for example, can identify claims where medical notes don’t include a COVID diagnostic code but reference terms such as “shortness of breath” and “fever” for claimants based in locations with high infection rates and engage the right specialist on their team to ensure those claims are handled in a prescribed way.
Topics: Litigation Finance, COVID-19, Artificial Intelligence
Work cited: Business Wire, May 21, 2020
