Trek Health, a US-based startup aiming to bring clarity to opaque healthcare payer data, has raised $11 million in a Series A funding round led by Madrona, the company said.
Other investors in the round included Accrete Health Partners—the venture arm of Bon Secours Mercy Health—along with LifeX Ventures, Correlation Ventures, SNR Ventures, and Founder Collective.
The fresh capital will support Trek Health’s efforts to scale its AI-powered platform, which helps healthcare providers make data-informed decisions in payer contract negotiations and reimbursement strategies.
The company’s latest product, Competitive Market Analysis (CMA), enables hospitals and provider networks to benchmark rates, simulate negotiation outcomes, and identify revenue opportunities using machine-readable pricing data mandated by transparency regulations.
Founded by Dilpreet Sahota, who was inspired by personal experiences with healthcare system inefficiencies, Trek Health is addressing three critical pain points in the US healthcare landscape: opaque payment data, shrinking provider margins, and administrative burden.
Despite regulations such as the Transparency in Coverage rule, the company said that payment data remains difficult to interpret.
Trek Health’s platform aggregates, normalizes, and benchmarks vast amounts of payer-provider contract data, transforming it into visual insights through dashboards and heat maps for finance and contract teams.
The firm said early adopters have reported significant improvements, with one major provider achieving a 15% increase in negotiated rates.
The CMA tool allows users to model contract scenarios before negotiations and apply AI-generated strategy recommendations to improve reimbursement outcomes.
Trek Health’s funding comes amid growing demand for enterprise healthtech solutions that address operational inefficiencies and financial sustainability in the healthcare sector.
With rising costs and reimbursement challenges, provider organizations are increasingly turning to AI-driven tools to navigate complex contract structures and improve financial performance.
The company said it aims to become a strategic partner to healthcare CFOs and executives seeking greater transparency, control, and fairness in an often obscure reimbursement environment.