Remedinet to be backed by Rare Enterprises

Rakesh Jhunjhunwala is planning to back Remedinet Technologies in hastening the process making technology for cashless bill payments in hospitals.

For this the investor's investment firm RARE Enterprises has teamed up with venture funds Bessemer Venture Partners and Nirvana. The Bangalore based firm has developed a platform on which payers like insurance firms or third party administrators as well as hospitals can better manage the process of pre-authorised payments when a patient is admitted to final settlement when discharged.

"There is a need for technology companies to assist in the growth of health insurance market. We are excited to partner with Remedinet," said Rakesh Jhunjhunwala

"While cashless claims currently account for 30% of the market, they are expected to reach 60-70% in the next 3-5 years," said Aakash Goel, VP at Bessemer who is also on the board of Remedinet.

The company's client list include healthcare providers like Fortis Healthcare, Vasan Eye Care; insurers like ICICI Lombard and Max Bupa besides TPAs like MediAssist.

"Government is spending a lot more on healthcare and we are partnering with insurance and TPAs to manage those scheme," said Munish Daga, CEO of Remedinet.

Remedinet charges typically on a pay per transaction or pay per member basis, which keeps the cost of initial adoption low. According to Daga, the company has been building its network in south India but now plans to increase focus on north and western regions of the country.