Rx Save Card Secures $1.7M in Pre-Seed Funding to Create Revolutionary Pharmacy Benefit Product
14 Agosto 2024 - 3:37PM
Business Wire
Rx Save Card, an innovative pharmacy benefit solution that
allows employers and their employees to integrate an array of cost
containment strategies into one integrated navigation and payment
experience, announced today the successful completion of their
$1.7M seed funding round led by Distributed Ventures and
participation from industry insiders.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20240814774405/en/
Prescription drugs are currently a $600 billion market and are
projected to grow rapidly over the next few years. GLP-1s and other
high-cost drugs will continue to put pressure on the affordability
of prescription drugs and employer-sponsored prescription drug
benefits. Even though 165 million Americans currently receive
pharmacy insurance from their employers, they often need to choose
between using a traditional pharmacy benefit management (PBM)
solution, which limits choice on pharmacies and drugs covered, or
paying out-of-pocket using discount cards and alternative
pharmacies.
Rx Save Card seeks to bridge that gap by providing employees
with a solution to find the best cost for their prescriptions, and
helping employers alleviate the out-of-pocket payments for their
employees. The Rx Save Card also addresses the central issues
raised in recent class-action ERISA fiduciary lawsuits for
employers that self-fund their pharmacy benefits program.
“I’m excited to partner with Distributed Ventures and its
industry partners as we work on creating a win-win solution that
saves money for both employers and employees when it comes to
prescription drug spend,” said Chris Crawford, co-founder and CEO
and a 20-year veteran of the employer benefits space, including the
last 6 years in pharmacy benefits specifically.
He went on to explain how the solution works: “The employer
funds the card with a preset amount per month and the employee can
go to any of over 65,000 participating pharmacies, including mail
order solutions like Mark Cuban Cost Plus Drug Company, to fill
their prescription. The lowest price is then paid by for the card,
resulting in material savings for employers as plan sponsors and
employees as consumers.”
Distributed Ventures, known for its investments in the employer
solutions and insurance technology, has long viewed drug spend in
the employer benefits sphere as an opportunity for transformational
innovation.
“The Rx Save Card team is addressing the significant void
between employer sponsored strategies and out-of-pocket solutions,”
said Shawn Ellis, Managing Partner of Distributed Ventures. “This
is timely with recent increased scrutiny from legislative,
regulatory and legal entities related to the lack of consumer
choice in the prescription drug market. We’re confident that Chris
and team will help employers rest easy knowing they’re fulfilling
their fiduciary responsibilities to their employees with a
comprehensive, easy to navigate solution that delivers material
savings.”
With the funding, Rx Save Card will continue to scale its team
and technology. To find out more, please visit rxsavecards.com.
About Rx Save Card The Rx Save Card empowers employees to
pay directly for their medications at over 65,000 pharmacies.
Founded by Chris Crawford and other multi-decade veterans of the
pharmacy benefit and payment spaces, this simple solution is the
perfect companion to existing pharmacy benefits, offering an
additional way to save on prescriptions without having to change
pharmacy benefit managers.
About Distributed Ventures Distributed Ventures is an
early-stage venture fund specializing in the insurtech, employer
solutions and fintech verticals.
Our unparalleled experience and expertise in the risk ecosystem
allow us to connect early-stage companies with the guidance,
access, and customers they need to accelerate revenue and rapidly
achieve product-market fit.
We back founders with precision capital, partnering with them to
manage and mitigate risk, helping them build technologies and
solutions that provide stability in an uncertain world. Our recent
investments include Armadillo, Ascend, CoverTree, Pillar, Posterity
Health and Tuned.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240814774405/en/
Chris Crawford, CEO: chris@rxsavecards.com
Distributed Ventures: contact@distributedvc.com