My partner, Brad, is now on his second year with Oscar and of all the insurance companies he’s used over the years, this has been the best so far. Mind you, he has not had any major health issues but compared to the other 5 or 6 companies he’s previously used, this has been an outstanding user experience. Plus, he hasn’t had to switch out any of his doctors – they’re all signed up to Oscar as well.

50% growth both in membership and revenue

Oscar now has 400,000 members and $2 billion in revenue based on the open-enrollment period that just ended.

Three years ago, Oscar had only 70,000 members after pulling out of markets in Dallas-Fort Worth and New Jersey (losing too much money on ACA programs at the time).

However, by the end of this year (2020), they expect to be operating in 29 markets including New York, San Antonio, Los Angeles, Orange County, San Francisco and Phoenix.

So far they’ve raised $1.3 billion to fulfill their vision of providing a more concierge-like healthcare experience. Technology plays a major role and sets them apart from their competitors. Their mobile app is first-rate especially for telemedicine.

They also just announced that they were partnering with Cigna to provide services to small business owners.

Alphabet/Google appears to be their major investor along with Founders Fund.

According to TechCrunch, the company envisions a healthcare industry where employer-defined plans will disappear as more consumers turn to Individual Coverage Health Reimbursement Arrangements. 

In that environment, Oscar’s bespoke services — like the recent partnership with the startup Capsule Pharmacy to provide same-day prescription delivery for Oscar’s members in New York — or the company’s tight relationship with providers like the Cleveland Clinic, become competitive advantages.

Bottom Line.

Not cheap but so far, so good. Their tech is beyond par – the whole experience reminds me a bit of Warby Parker – very seamless, helpful, customer-first.

And I believe their excellence stems from the founder’s personal experience at a hospital when he ran into the maze that is health insurance for most people. An experience that ultimately drove him to create Oscar.

And if you’re wondering about my insurance, I’m on Medicare (and that has been the greatest experience of all!!)