Coverance Insurance Solutions

About Coverance Insurance Solutions

Coverance Insurance Solutions, Inc. operates as a national health insurance brokerage with a clear focus on the senior market in the United States. Founded in 2017 by Chris Mullins, the company aims to simplify the complex process of selecting Medicare insurance for this demographic. It is headquartered in Long Beach, California.

The company's business model is centered on acting as an independent insurance agency that leverages technology and data analytics to assist seniors in navigating their Medicare options. Coverance serves Medicare-eligible clients, including those turning 65, retiring and losing employer coverage, or those already on Medicare who wish to explore different plans. Revenue is generated through commissions from the insurance carriers whose plans are sold by the brokerage. The service is free for consumers.

Coverance provides a proprietary technology platform combined with licensed agents to help clients find suitable plans across Medicare Advantage (Part C), Medicare Supplement (Medigap), and prescription drug plans (Part D). The process involves agents getting to know the client's specific needs, researching and comparing plans from various major health insurance providers, and then assisting with the enrollment process. This approach is designed to replace the traditional in-person agent model with a more centralized, call-center-based system. To build its brand, the company has utilized celebrity spokesperson Kelsey Grammer.

Since its founding, Coverance has secured significant funding to support its growth. In September 2020, the firm announced a $10.5 million financing round led by CUNA Mutual Group, with participation from existing investor Strandview Capital. This was followed by a multi-million-dollar revenue-based financing deal with Decathlon Capital Partners in October 2020, structured to allow the company to scale without diluting equity.