Wellero, a digital health startup launched by Cambia Health Solutions, is shutting down. It developed an app that sought to simplify medical bill payments for consumers and providers. It’s just one of many healthcare startups investors predict will falter this year.
HIT Consultant, which wrote about the business earlier today, reported that Wellero’s app had about 1,100 users as of last May and served as a point of service solution with about 700 health plans on the platform including Cambia’s own Regence BlueCross BlueShield plans
In an emailed statement, Cambia Health Solutions Spokesman Jared Ishkanian said:
“We’ve decided to wind down operations of Wellero. We launch start-up ventures because of their potential to transform health care. Sometimes, those early stage investments don’t bloom into mature stand-alone companies. We’ll continue to use and build upon Wellero’s tools and services to make paying for health care easier for consumers.
The company’s idea was that patients could check ahead of time what a healthcare service would cost, depending on their plan, and to determine their insurance eligibility. The goal was to save providers administrative time and effort. Patients would be offered discounts to encourage them to pay before they left the doctor’s office.
In a statement when it was launched, the company noted that Wellero would compensate the provider within two to three business days instead of the current 60 to 90 day insurance and patient payment cycle, eliminating the risk of not getting paid.
Other healthcare startups that have shut down in the past few months include HealthSpot, a telemedicine startup that filed for Chapter 7 bankruptcy earlier this month, and Better, which shut down in September last year.
