DarioHealth Expands Reach with New Blue Cross Blue Shield Agreement

DarioHealth Corp. (DRIO), a leading digital health company, has announced a significant expansion in its payer network with a new agreement with a Blue Cross Blue Shield (BCBS) health plan. This strategic move allows members seamless access to Dario's evidence-based, AI-driven health coaching and monitoring tools, further bolstering the company's recurring revenue growth and reinforcing its position in one of healthcare's fastest-growing sectors.

The new collaboration, rolled out in January 2025, integrates Dario's comprehensive cardiometabolic digital health solutions, including programs for diabetes, hypertension, and weight management, into the health plan's suite of member services offered to employers. This agreement is already contributing to Dario's annual recurring revenue (ARR) in Q1 2025 and is expected to expand further throughout the year to cover more of the plan's population.

With this new partnership, Dario now serves nine health plans, spanning both regional and national payers. As the cardiometabolic disease market is projected to surpass $1.2 trillion by 2033, this latest expansion strengthens Dario's position in one of healthcare's fastest-growing and most financially significant sectors.

"We believe that this expansion highlights the increasing demand among payers for scalable, AI-driven digital health solutions that deliver measurable health improvements and cost efficiencies," said Steven Nelson, Chief Commercial Officer at Dario. "We believe that securing another Blue Cross Blue Shield health plan further validates our market leadership in cardiometabolic care and reinforces our ability to scale recurring revenue growth. With nine health plans now leveraging our technology, we are rapidly expanding our presence in the multi-billion-dollar payer market and strengthening our trajectory toward profitability and long-term growth."

DarioHealth's data-driven approach delivers measurable results, such as a 5x return on investment (ROI) for payers, a 58% reduction in hyperglycemic events, and a 59% decrease in anxiety symptoms. Its scalable, AI-powered platform is rapidly gaining traction among payers and employers seeking cost-effective, high-impact health solutions.

With a presence in multi-billion-dollar markets, expanding health plan partnerships, strong financials, and cutting-edge technology, DarioHealth is positioning itself as a potential digital health powerhouse in the making. The company's recent financial momentum, including a 111% year-over-year (YoY) increase in revenue in Q3 2024 and a $25.6 million private placement boosting its cash position to $40.6 million, supports its growth strategies and targets operational cash flow positivity by mid-2025.

In conclusion, DarioHealth's new Blue Cross Blue Shield agreement contributes to its recurring revenue growth and market expansion strategy by increasing user base, validating market leadership, and driving financial momentum. The company's AI-driven digital health platform addresses key factors driving demand among payers, such as measurable health improvements, scalability, integration with existing services, data-driven approach, and expansion into new markets. This partnership further strengthens DarioHealth's position in the cardiometabolic disease market and reinforces its commitment to improving patient outcomes and driving industry-wide improvements in the healthcare landscape.