Charta Health Secures $55M, Debuts AI Coding Suite
A San Francisco company called Charta Health has just raised $55 million, pushing its cumulative funding to $85 million. The investment was spearheaded by Insight Partners, while Madrona, Bain Capital Ventures, South Park Commons, and QuantumLight also contributed to the round.
The company uses AI to automate billing and coding workflows, offering a platform that automates chart review. Its tools for providers include autonomous coding, payer compliance, risk adjustment, revenue discovery, and automated feedback.
For payers, Charta Health offers retrospective risk adjustment on coding projects, a smart coding platform, automated second-pass for coded charts, RADV and audit management, and HEDIS and quality analytics. The funding coincides with the company’s launch of Charta for Payers, which includes six AI products aimed at helping health plans improve accuracy and operational efficiencies around medical billing and workflow.
Jeff Horing, cofounder and managing director at Insight Partners, stated that healthcare payments depend on the medical chart, and charting errors cause costly problems across the entire process. He added that Charta pairs AI with customer-specific coding expertise and serves both sides of that market.
The new funds will be used to support the launch of Charta for Providers and help expand the Charta for Payers offering to new specialties. Earlier this year, Charta Health announced an agreement with athenahealth to provide its offerings in the athenahealth Marketplace.
Other companies in the space include Arintra, which offers an enterprise AI platform focused on healthcare revenue assurance, and Candid Health, an AI revenue cycle management platform for healthcare providers. Arintra raised $25 million in Series B funding earlier this year, while Candid Health secured $120 million in Series D funding.
Charta Health’s funding and launch of new AI coding tools demonstrate the growing importance of AI in healthcare billing and coding workflows. The company’s expansion will likely impact the healthcare industry, particularly in terms of reducing errors and improving operational efficiencies.
Charta Health’s agreement with athenahealth and its launch of Charta for Payers and Charta for Providers demonstrate its commitment to providing innovative solutions to healthcare providers and payers. With the new funding, Charta Health is well-positioned to continue its growth and expansion in the healthcare industry. They will use the funds to further develop their products and services, which will help them to better serve their customers.
