Thatch Raises $108 Million At $1 Billion Valuation As Employers Shift Away From Traditional Health Plans

Thatch Health raised $108 million in funding at a $1 billion valuation. The round was led by The General Partnership, Index Ventures, General Catalyst, and Andreessen Horowitz, with participation from ADP Ventures, Paychex, Eli Lilly and Company, Scale Venture Partners, QuantumLight, SemperVirens, Quiet Capital, and Avid Ventures.

Thatch said its revenue grew nearly sevenfold over the past year and that more than 5,000 employers use its platform. The company offers a consumer-directed health benefits model as an alternative to traditional group health plans.

Under the model, employers set a health benefits budget, and employees use the funds to . . .