Thatch raises $40 million

Healthcare startup Thatch announced a $40 million Series B funding round led by Index Ventures and joined by Andreessen Horowitz, General Catalyst, ADP Ventures, SemperVirens, PeopleTech Partners, and The General Partnership.

Founded in 2021, the San Francisco-based startup helps employers offer Individual Coverage Health Reimbursement Arrangement (ICHRA) to employees. Since launching in 2023, Thatch helped over a thousand companies implement its solution.

The startup also announced that it is bringing on Gary Daniels, the former CEO for UnitedHealthcare’s Pacific Northwest division, as its chief growth officer.