DarioHealth begins offering third party insurance reimbursement to US customers

By Heather Mack

Delivering on a promise spoken just last week, DarioHealth announced partnerships today that will allow customers in the United States who use the company’s digital diabetes monitoring system to have their products reimbursed by insurance.

All third party insurers were not named, but the company said it had signed alliance agreements with partners across the country who will be able verify insurance coverage and bill insurance for members using the Dario blood glucose monitoring system, which consists of a pocket-sized device that includes a glucose meter, disposable test strip cartridge, a lancing device and a companion smartphone app. So far, the company has shared that Aetna and various Blue Cross Blue Shield members have been able to have their Dario systems covered.

"We are extremely excited with this new opportunity and will continue seeking out partnerships to expand our insurance coverage reach,” DarioHealth CEO Erez Raphael said in a statement. “Our customers asked about this, and we are happy to be able to provide this option to them. Many of these customers are already paying significant out of pocket cost for a variety of healthcare needs, so lowering their financial burden is tremendously gratifying and a big win for everyone in our community."

During a fourth quarter earnings call with investors last week, Raphael had mentioned the company – which launched as direct-to-consumer model in the US in 2016 was just days or weeks away from signing major company partnerships. Raphael also said the company plans to expand its provider partnerships and insurance coverage options over the next six to nine months, which, along with getting FDA clearance for the Android version of their system in the US, will steer them further towards their vision of gaining a significant portion of the mobile diabetes management market.

“We want to do this in a gradual way. As of today, we have access of around 20 to 25 percent of the market, and a lot of that is because we are only iOS and out of pocket. Once we start getting reimbursed and cleared for Android, we think we can get up to 60 to 70 percent of the market,” Raphael said during the call.  “We see this happening in the very near future.”

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