A local startup is raising millions to improve health care planning for consumers.
Miami-based Caribou closed a $2.5 million seed funding round led by investors Jack and Max Altman, with participation from Dash Fund, N49P and Garage Capital. The recent capital injection brings the startup's total funding to $3.1 million
Caribou builds health care cost prediction and optimization software for financial planners so they can advise consumers on the best plans. The goal is to help adults proactively consider what their health care expenditures could be as they plan for their financial futures.
"Our mission is to ensure that health care doesn't get in the way of living by protecting consumers from unexpected health care costs and improving decision making in areas like health plan selection, long-term care planning, and more," said Caribou co-founder Christine Simone.
The price of medical care is a prime concern for older adults and retirees in the United States, which has the most expensive health care system in the developed world.
Americans spent an average of $12,530 a person on health care in 2020, according to the Centers for Medicare and Medicaid services. Those costs usually rise as consumers reach retirement age and beyond, with Americans over 55 accounting for more than 50% of all health care spending.
Caribou plans to invest in product development, marketing and hiring with the new seed funding, Simone said. The startup is partnering with financial advisory and wealth management firms to bring hundreds clients to the Caribou platform.
Caribou currently has at least 10 employees across North America, Africa and Europe, but Simone and co-founder Cory Blumenfeld are based in Miami. The team plans to increase hiring in 2022, which could include new South Florida-based additions.
"We just broke double digit team members with plans to double by end of year," Simone said.
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