Is My Personal Data Worth Anything? I Turned to Blockchain To Find Out.
The idea behind CoverUS is to harness as much health data as possible—from self-reported data to automatically generated real-time feeds—...
Healthcare is projected to be a nearly $9 trillion dollar global market by 2020. In 2016 alone, the US spent $3.3 trillion (17% of GDP) on healthcare-related expenditures. It is estimated that more than $1 trillion is wasted every year to health system inefficiencies.
37% of Americans can't afford a $100 medical bill, and that's a huge problem. 64% of patients are delaying health treatment until they have the money to pay for it, resulting in poor health outcomes and skyrocketing national health costs. Financial barriers to care are even more crippling in transition economies, which drive 7.5% of the total growth in global health spending.
Not only is this an invasion of privacy, it's bad business. Lack of direct patient engagement makes it difficult for the healthcare industry to conduct highly targeted marketing campaigns, to incentivize people to take healthy actions, and to collect real-time, real-world health data from patients at scale. This leads to higher costs for research and development, advertising and medication non-adherence. Health information is more valuable to industry buyers if it's connected to you, and if it can be used to engage you in the conversation.
Rather than accepting the status quo of third-party data brokers collecting and profiting from your most private information, the CoverUS App will enable you to take control of your health data and earn money.
Note: The CoverUS app and platform described in the video at the top of the page are still under development; the features and business capabilities demonstrated here are not yet functional and may require acceptance by various organizations in the health and financial industries in order to be successful.
Widespread hacking of personal data – from Yahoo!, to eBay, to Equifax – and the high value of health information has made healthcare the industry most affected by data breaches. With sweeping new European privacy laws providing global challenges, and US states like California following suit, companies handling sensitive data must embrace innovative solutions to increase transparency, security, and privacy.
CoverUS has you covered. Our RESPECT data governance framework allows CoverUS members to decide what data they want to share and with whom they want to share it. They can also adjust sharing permissions over time. This ensures compliance with strict data standards like HIPAA and GDPR.
HOW IT WORKS
CoverUS is creating a two-sided marketplace between consumers and healthcare companies:
CoverUS makes money when members create uniquely rich health data profiles and respond to targeted, revenue-earning offers from the healthcare industry. Our transaction fee model means we only profit when our members do.
Our plan is to become the world's leading health data broker with direct patient consent – selling custom data and insights to the healthcare industry and creating a regular stream of income for all CoverUS members who opt in.
CoverUS achieves scale by working with distribution partners in healthcare and beyond. We are developing our first GTM partnership with an online patient community of 1.5 million people suffering from one of the more costly chronic diseases. Additional partnerships are being negotiated with leading medical, advertising, and health IT companies. We will leverage our experience in working with governments and large issue-based organizations with the goal of bringing the CoverUS app to everyone, everywhere.
CoverUS will target global markets including Electronic Health Records (EHRs / EMRs), Mobile Health, and Telehealth. These sectors are projected to grow at an average compound annual growth rate (CAGR) of 19.15%.
If recent growth in the personal data market is any indication, multiple major players will emerge in the health data space. Our team has been empowering and engaging consumers at scale for decades, and CoverUS is well positioned to not only compete with, but to also collaborate with several of the companies listed below.
Having completed phase I product ideation and design, the CoverUS App is in the development stage. We will use the funds from our Crowdfunding round as follows*:
*Note that funds raised up to our minimum funding goal will be devoted primarily to Marketing and Operations (including for the crowdfunding campaign itself), while the other categories will receive proportionally a greater allocation of the proceeds if we raise more than the minimum goal.
Digital health is known to be one of the hottest markets for venture capital. Our unique value proposition places us directly in 7 of the 10 most active sub-sectors for investments in the digital health industry:
The CoverUS team has experience in creating, growing, and exiting successful startups.
We launched this equity crowdfunding campaign because we believe that you should have the opportunity to own not just your data – but also a piece of the company that is putting the power of data in your hands.
The smallest investment amount that CoverUS is accepting.
CoverUS needs to reach their minimum funding goal before
the deadline. If they don’t, all investments will be refunded.
The Crowd SAFE is an agreement for future equity in the startup,
meaning that it can convert to equity in the future.
The Crowd SAFE is an agreement for future equity in the startup, meaning that it can convert to equity in the future.
$25,000 – $1,070,000
CoverUS needs to raise
before the deadline. The maximum amount CoverUS is willing
to raise is $1.07M.
CoverUS has raised sufficient investor capital to bring the CoverUS app and platform to market in Q2 of 2019, and we expect to begin onboarding members and generating revenue within Q2.
In parallel, we will be working throughout the first half of 2019 to raise additional investment capital, both from crowdfunding and from traditional professional investors, to scale the company after initial launch of the platform.
Our internal membership growth, revenue growth, and cost models, while subject to change, currently project break-even for the company on a cash-flow basis in Q2 of 2021. We anticipate needing to raise at least $2.6M in additional investment (including funds raised from the crowdfunding campaign) capital in order to achieve break-even in 2021.
While our platform is being designed to be relevant to all patient and consumer groups, our go-to-market strategy is focused on engaging and financially empowering consumers that suffer from Irritable Bowel Syndrome (IBS), a condition experienced by approximately 10-15% of the world’s population that is one of the more costly chronic diseases. We have created charter app distribution relationships with organizations that currently reach approximately 1.5 million IBS patients worldwide.
Accordingly, we expect our first customers to be organizations that are focused on learning from, engaging, and serving IBS patients. These may include pharmaceutical companies developing therapies for IBS, the Contract Research Organizations (CROs) that help pharmaceutical companies develop new drugs, market research firms that seek to understand the consumer preferences of IBS patients, health data analytics companies researching IBS itself, employers seeking to support employees that suffer from IBS, health care payers, and consumer-facing companies offering products and services to support consumers in managing IBS.
Over time, we expect to offer customer cohorts such as these a range of services related to the data and attention of CoverUS members, group into Marketing Solutions, Research Solutions, Incentives Solutions, and Data Solutions. In each case, we deem ourselves to be working as the agent, or proxy, for our members, assisting them in brokering their engagement, attention and data only on terms that they are informed about, explicitly agree to, and that are economically advantageous to them, as represented by our RESPECT framework.
We are also already working to build broader distribution relationships beyond IBS with organizations ranging from innovative clinical testing companies to large member organizations.
Health data is valuable, but also sensitive. CoverUS members need to be able to trust that their data will not fall into the wrong hands, nor be used for purposes that go against their values. To that end, above and beyond adhering to all relevant legal privacy and security requirements, CoverUS is creating RESPECT, a semantic framework for the ethical sharing of data that will allow members to decide what information they want to share, with whom, and under what conditions, to revoke or change these data sharing permissions over time, and to stay informed about how their data is shared.
Beginning with Privacy by Design principles as a foundation -- including the goal of storing only what data needs to be stored, for as long as it is needed -- we are working together with civil society organizations, the medical industry, and existing health communities to design default data sharing choices that protect our members.
The resulting RESPECT framework, designed to be both human and machine-readable, will be built into the CoverUS app and, we hope, will add further impetus to an industry-wide movement towards more ethical data sharing principles and business models.
As we are pioneering the application of a new more expansive approach to balancing the inherent tension between data privacy and data sharing, we won’t get it perfectly right out of the gate. We will need ongoing input from our members, our business customers, and of course relevant standards bodies and other governmental and civil society organizations that are already working on related challenges. Accordingly, RESPECT is being developed through an open, iterative process, and its’ design will evolve over time we receive ongoing feedback, and learn from applied experience over time.
Consumer data brokering is an approximately $200 billion market, of which the health data segment is approximately $20 billion. The rapid growth of artificial intelligence and machine learning applied to vast troves of health data is thought to have hold the promise of accelerating discovery and commercialization of breakthrough therapies for everything from cancer to dementia, as well as delivering on the long-awaited promise of personalized medicine, in which therapies are tuned more specifically to an individual’s own biology. As such, our health data is valuable in the aggregate.
However, while public estimates of the value of an individual’s health data range from dozens to hundreds of dollars annually, the commercial value of any individual’s data may vary widely depending on a range of factors ranging from accidents of genetic phenotype to whether one is sick with a chronic disease. Furthermore, the current health data brokering market creates perverse incentives that harm patient welfare, reduce accountability and reduce information sharing which could otherwise drive innovation. In the current state, consumers provide valuable health data but are not able to realize its value directly, and customers are limited in their ability to use data assets without consent, and unable to fill gaps in the data.
CoverUS believes that the greatest value of one’s data lies in the insights and actions that data can inform, rather than in the data itself. Realizing this greater value, in our view, inherently requires a consumer to be involved in the creation, enrichment, maintenance, and permissioning of their data.
While this patient-centric data management is not the norm in the health data brokering industry, there is growing demand for this “real-world” data-- the context from a consumer’s daily life that makes the information in medical records more valuable. Increasingly, drug companies and other actors in the system are asking for this data because it helps them improve the efficacy of and adherence to the proscribed use of their products.
As such, CoverUS is focused on aggregating a rich real-world health data set in partnership with our members, and also on the engagement of our members with offers to take actions informed by this data that create value or reduce risk for other organizations in the health system.
We believe that this will enable us to aggregate revenue streams related to health data that are traditionally segregated into different sub-sectors of the industry, from market research, to patient incentives, to data brokering. Our initial “North Star” goal is to generate revenue for our most engaged members from these aggregated streams sufficient to wipe out the ~$1500 average medical debt experienced by some 40 million Americans today.
As part of its BlueButton and Blue Button 2.0 initiative, the United States government has strongly urged holders of electronic medical records to make them available to patients online. In March of 2018, The Centers for Medicare & Medicaid Services (CMS) announced a new Trump Administration initiative – MyHealthEData – to empower patients by giving them control of their healthcare data, and allowing it to follow them through their healthcare journey.
As of 2018, Apple is making this even easier for iPhone users by connecting medical records to its Health App and also providing APIs to third-party software developers like CoverUS. There are a variety of companies inside and outside the blockchain space that are singularly focused on helping patients get their health records with minimal friction, and we expect this market to grow.
CoverUS believes that one's digital health records will be much easier to obtain in the near future thanks to these efforts, and is designing its’ platform to leverage integrations with these relevant vendors to make the connecting of health data to CoverUS an even easier process. In addition to health records, CoverUS members will be able to connect data from fitness trackers and other wearable devices, as well to provide “patient-reported” information via surveys and other feedback tools.
Click here for information from the U.S. government's health IT website on what your rights are when it comes to electronic medical records access, and what special tools are available for Veterans and Medicare recipients.
I believe in people and the power of community.Peter ShanleyInvested about 2 months ago
It’s the futureNahiem HoodInvested about 1 month ago
I believe we have to find new strategies for engaging people in participating the management of their own health status and diseases in new and empowering methods.Stephen ShanleyInvested about 1 month ago
CoverUS stands to recalibrate the relationship between patient and the healthcare system that works for all. Have immense confidence in Andrew, his team, and their ability to execute at the highest level.Murat ArmbrusterInvested about 1 month ago
The mission is noble, high risk, high reward, and I have a lot of confidence in the team at CoverUS. They're going for it.Richard BodoInvested about 1 month ago
I like that CoverUS wants to help people own their health data.nina freemanInvested about 1 month ago
I know Mr. Chris Sealey and I love this idea.ROBYN KEARNSInvested about 1 month ago
I believe in Christopher Sealey, this mission, and its timing.Amber TelfordInvested about 1 month ago
Christopher Seeley a trustworthy visionary. The issue of health care access is personal and political, the impact of social investing for social justice.Margaret EganInvested about 1 month ago
I like it and think there on the right trackIsauro RomanInvested about 1 month ago
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