Chapter Health Raises $1.5B: Backed by Vance, Thiel & Ramaswamy

Chapter Secures $75 Million in Funding

Chapter, a startup focused on providing guidance for Medicare beneficiaries and co-founded by Vivek Ramaswamy, has successfully completed a $75 million funding round.

This investment has resulted in a company valuation of $1.5 billion, with the round being spearheaded by the private equity and venture capital firm, Stripes.

How Chapter Assists Seniors

The company’s core function is to assist seniors in navigating the complexities of Medicare health plan selection.

Chapter achieves this by thoroughly analyzing factors such as available doctors, hospital networks, and prescription drug coverage options.

A key differentiator for Chapter is its stated commitment to prioritizing the needs of its clients over potential profits from insurance providers.

Early Investment and Board Changes

Initial funding for Chapter came from Naraya, a venture capital firm established by Vice President J.D. Vance, during its Series A round in 2020.

Following Vance’s resignation from the board in 2021 to pursue a Senate campaign, Peter Thiel, an earlier investor, took his place.

Subsequently, Thiel also stepped down from the board, and his vacancy was filled by Democrat Donna Shalala.

Political Perspectives on Chapter’s Leadership

Donna Shalala, who previously served as Secretary of Health and Human Services under President Clinton and later as a U.S. Congresswoman, now holds a board position.

In an interview with Bloomberg, Shalala indicated that Ramaswamy’s involvement and the initial investments from Republicans Vance and Thiel did not present any concerns.

She emphasized that she does not perceive the company as being inherently political in its operations.