Josh Davidson
Beverly Hills, CA (USA)
Role(s):
C-Level Executive (CEO, CFO, etc.)
Insulin Algorithms, Inc.
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Startup
Location:
Beverly Hills
Industry:
Healthcare
Year Founded:
2013
Number Employees:
1-10 people
Business Stage:
Creation/Idea
Entity Type:
"C" Corporation
Description:
Insulin Algorithms provides a software based method for primary care providers to adjust insulin doses in diabetic patients. Proper insulin management improves a diabetic’s sugar levels which lowers medical costs and prevents complications which cost $87 billion in the USA. Improving the quality of dose changes and expanding the number of providers who can make dose changes will lower complications, and overall costs of diabetes.
With 50% of diabetics not in optimal blood sugar control, diabetic complications such as neuropathy, retinopathy, nephropathy, etc. cost healthcare payors $87 billion in USA. General practitioners who are reluctant to put patients on insulin and have limited experience adjusting insulin doses treat 90% of diabetics. They do not have time to analyze hundreds of readings and make informed insulin dosing decision, which our software does in seconds.
The algorithms that we have developed are based on the work of one of our founders, Dr. Mayer B. Davidson. a Professor of Medicine at both the UCLA and Charles R. Drew University. He was President of the ADA in 1997-1998, and has served or is serving on the Editorial Boards of 11 diabetes journals. Dr. Davidson has written 168 scientific papers, 31 book chapters, 59 reviews and 54 editorials and invited articles, and 4 books. He is the main author of Davidson’s Diabetes Mellitus: Diagnosis and Treatment, now in its 5th edition.
In the USA in 2012 there were 5 million insulin taking diabetics, and by 2025 that number is expected to grow to 11 million. Our software has the opportunity to save healthcare payors (HMO's, insurance companies, capitated care organizations) between $3 billion to $6 billion today and $6 billion to $12 billion in 2025. This gives us a revenue opportunity of $300 to $600 million today and $600 million to $1.2 billion in 2025, for the USA alone.
Our business model is predicated on understanding that our software drives a 10:1 return for payors. The 1% point drop in blood sugars will save the payor $600 or more in medical costs per year. We aim to capture $4 - $6 / month / patient to be on our system. This model has already been vetted with large HMO and insurance companies who agree with our approach.
Our product advantage lies in the fact that it has been vetted and improved since the early 1980's. We cover all of the over 3 million combinations of patient types, insulin regimes, and meter reading patterns. Our algorithm has been successfully used on patients in clinical settings for decades. Our business advantage is created because we focus on the payors who directly benefit financially with a highly scalable SAAS product.