Daffodil Health today announced it has raised $16.3 million, bringing its total funds raised to $20.9 million. The series A funding was led by Flare Capital Partners, with participation from LRVHealth and returning investor, Maverick Ventures, alongside key individual investors, including Scott Mingee, former CEO of Equian (acquired by Optum), and Jim Lacy, former president and COO of Collective Medical (acquired by PointClickCare).

Daffodil Health is an AI-first healthcare technology company modernizing the claims and pricing infrastructure used by U.S. health plans. Its configurable, transparent platform enables payors and third-party administrators (TPAs) to bring out-of-network (OON) repricing and payment integrity in-house-without added operational complexity or labor costs.

Daffodil replaces opaque, percentage-of-savings middlemen with a modern SaaS model that gives plans direct control over pricing logic, real-time reporting, and defensible benchmarks that withstand regulatory and audit scrutiny. Built to work alongside existing core claims systems, the platform supports next-generation plan designs such as reference-based pricing, narrow and tiered networks, and dynamic copays.