Truemed, a US-based health payments startup that enables consumers to use tax-advantaged health accounts for preventive care, has raised $34 million in a Series A funding round led by venture capital firm Andreessen Horowitz, as investors bet on growing demand for alternatives to traditional, treatment-focused healthcare.
The round also drew participation from Bessemer Venture Partners, Long Journey Ventures, BoxGroup and Trust Ventures, Truemed said.
Founded to simplify the use of Health Savings Accounts (HSAs) and Flexible Spending Accounts (FSAs), Truemed operates a marketplace and payments layer that allows eligible users to spend pre-tax healthcare funds on evidence-based lifestyle products and services.
These include fitness equipment, sleep tools and structured exercise programmes offered by brands such as Peloton and 24 Hour Fitness.
The company said it has recorded triple-digit revenue growth for two consecutive years, reflecting rising consumer interest in preventive health tools amid persistent concerns around chronic illness, obesity and mental health.
Most users seek support for early-stage cardiovascular disease, metabolic conditions, chronic pain and mental wellbeing, Truemed said.
Proceeds from the funding will be used to expand its product offering, invest further in compliance and payments infrastructure, and increase consumer awareness around how HSAs and FSAs can be used beyond traditional medical expenses.
Unlike general-purpose health marketplaces, Truemed focuses on regulatory compliance, determining eligibility through clinician-led processes that support letters of medical necessity, a requirement for many HSA- and FSA-approved purchases.
The funding underscores growing investor interest in models that reposition consumer health spending toward prevention rather than acute care.
While HSAs and FSAs represent a large and underutilised pool of capital in the US, their complex rules have limited adoption beyond conventional healthcare.
Truemed’s challenge will be scaling its compliance-heavy model while navigating shifting regulatory interpretations and competition from insurers, employers and large health platforms seeking to capture more of the preventive care market.