Monday, March 18, 2024
ISSN 2765-8767
  • Home
  • About Us
  • Contact us
  • Support Us
  • Home
  • About Us
  • Contact us
  • Support Us

Mental health venture investments reach all time high

The positive social media response to Simone Biles withdrawing from Olympic competition highlights how the artificial line between health care and mental health care is finally beginning to dissolve. And startup investors have taken notice.

By the numbers: Venture capital investments in mental health startups rose 72.6% between Q1 2020 and Q1 2021, per CB Insights.

GIMBHI reports that mental and behavioral health deals more than doubled between 2019 and 2020, and in Q1 2021, it accounted for 19% of all digital health funding.
Driver No. 1: Soaring customer demand, much of which has been driven by the pandemic, without adequate provider supply (particularly in non-urban areas). Not just among adults, but also for kids and teens.

Google searches for both therapists and psychiatrists soared over the past 18 months, while most any corporate HR rep can tell you that employee burnout has become one of their most pressing issues.
Driver No. 2: Greater acceptance of telehealth, partially enabled by improved video chat technologies. This is true of patients, providers and insurers — helping encourage some “tech” entrepreneurs and investors to enter the space.

Driver No. 3: Last year’s Mental Health Parity and Addiction Equity Act makes it harder for insurance companies to deny care.

Driver No. 4: Valuation momentum for early VC-backed companies like Lyra Health (now worth $4.6 billion). Nothing attracts venture capitalists like when other venture capitalists pay high prices.

The bottom line: COVID-19 exposed many of America’s health system gaps, and we’re seeing money rush in to fill them.

Source: AXIOS

Daily Remedy

Daily Remedy

Dr. Jay K Joshi serves as the editor-in-chief of Daily Remedy. He is a serial entrepreneur and sought after thought-leader for matters related to healthcare innovation and medical jurisprudence. He has published articles on a variety of healthcare topics in both peer-reviewed journals and trade publications. His legal writings include amicus curiae briefs prepared for prominent federal healthcare cases.

Videos

Why are health insurance premiums going up?

How do you envision death?

How do you envision death?

As society entered the era of modern medicine, people developed a new understanding of death. Artist John Downman portrays two star-crossed lovers meeting for the last time: Edwin and Emma. For these two lovers, death is a welcomed reprieve from a life of sadness and separation.

Read more

Newsletter

Start your Daily Remedy journey

Cultivate your knowledge of current healthcare events and ensure you receive the most accurate, insightful healthcare news and editorials.

*we hate spam as much as you do

Start your Daily Remedy journey

Cultivate your knowledge of current healthcare events and ensure you receive the most accurate, insightful healthcare news and editorials.

*we hate spam as much as you do