Digital-first insurance provider plans expansion of easy-to-use insurance platform and automated underwriting
COLUMBUS, Ohio, March 02, 2021 (GLOBE NEWSWIRE) -- Beam Dental, a digital-first dental insurer that rewards its members for good dental hygiene, today announced it has raised $80 million in an oversubscribed Series E fundraise. The round was led by Mercato Partners’ growth equity fund, Traverse, with participation from new and existing investors, including Drive Capital, Georgian, Nationwide, and Breakout Capital. The round brings Beam’s total funding to over $160 million.
Beam is simplifying the antiquated, paper-logged $75 billion dental insurance industry for members, brokers and employers alike by making dental coverage:
Easier: Beam’s digital platform makes everything from quotes to claims fast and easy for brokers, members and employers.
Smarter: Smart pricing driven by machine learning means benefits brokers can get more accurate custom quotes in as little as 30 seconds.
Preventive: Members who use Beam’s connected toothbrush may earn lower insurance rates based on their dental hygiene as well as incentives to maintain better wellness overall. Beam's brush program has produced over 100 million brushing minutes to date, helping employers control their insurance costs and helping members earn rewards.
In 2012, three engineers formed Beam to disrupt the fragmented dental insurance industry. Since then, Beam has grown to 250 employees, expanded to serve employers in 41 states and increased its dentist network to 400,000 access points in all 50 states. The company has grown revenue by 600% over the past three years, with a net revenue retention rate of 100%. It doubled its member base in 2019 and again in 2020.
“At Beam, our vision is to modernize dental insurance by making it simpler and more intelligent,” said Alex Frommeyer, CEO and co-founder of Beam. “Our dental offering completely changes the way employers of all sizes think about dental wellness, by encouraging their employees to take better care of their teeth and making it easier to take a more proactive role in their dental care.”
Beam will use the new capital to expand its offering to new markets, onboard additional employee benefits brokerages and add additional products highly desired by today's most innovative employers.
“As the only digitally native dental insurance company, Beam leverages technology to promote better overall health for its members and provide more accurate benefit pricing for its employers,” said Joe Kaiser, director of Mercato Partners. “Since its inception, Beam has driven innovation in the dental industry and enhanced the digital experience for its members, employers and brokers.”
For more information, visit Beam Dental.
About Beam Dental
Beam Dental is a digital-first dental benefits provider that incorporates dental hygiene behavior into policy pricing, combining an easy-to-use online insurance platform, AI-powered underwriting, and the connected Beam Toothbrush for better overall wellness. Beam has raised over $160 million in venture capital funding and is the only digital-first company within the $75 billion dental insurance industry. Beam also offers vision insurance, powered by VSP, and group term life coverage for employers of all sizes in partnership with Nationwide Insurance. Beam is available in 41 states around the U.S. and is accepted at over 400,000 access points nationwide.
Traverse is the growth fund of Mercato Partners, a multi-strategy investment firm which specializes in overlooked and underserved markets. Traverse leverages the breadth of its team’s investing and entrepreneurial experience in these targeted geographies to provide both capital and operational guidance for rapidly scaling companies in the technology and branded consumer segments. For over a decade, Traverse has found, funded, and collaborated with high-growth companies to help them achieve transformative growth and long-term value for our investors. For more information, please visit traverse.mercatopartners.com.
Disclaimer: Dental insurance products underwritten by National Guardian Life Insurance Company, and Nationwide Life Insurance Company in New York, marketed by Beam Insurance Services LLC, and administered by Beam Insurance Administrators LLC (Beam Dental Insurance Administrators LLC, in Texas). National Guardian Life Insurance Company is not affiliated with The Guardian Life Insurance Company of America, a.k.a. The Guardian, or Guardian Life. Lower rate based on group's participation in Beam Perks wellness program and a group aggregate score of "A".