Onos Health Raises $17 Million Series A to Accelerate Adoption of its Behavioral Health AI Platform for Health Plans

Funding led by Costanoa and joined by CVS Health Ventures and Flare Capital Partners

SAN FRANCISCO—Onos Health, the behavioral health clinical intelligence platform for payers today announced a $17 million Series A financing round led by Costanoa, with participation from Flare Capital Partners and strategic investment from CVS Health Ventures. The financing follows strong commercial momentum, with leading U.S. health plans, including Aetna, leveraging Onos’ AI platform to improve behavioral health outcomes while driving affordability through lower total cost of care.

Behavioral health has become one of the most pressing challenges facing the U.S. healthcare system. More than 23% of U.S. adults experience a mental health condition annually, while direct medical costs for behavioral health exceed $140 billion each year. Despite the scale of spending, health plans often lack the data systems and clinical visibility to manage quality across their populations, which forces plans into reactive oversight that can be abrasive to members and result in delays to care.

“Behavioral health care quality is difficult to understand and manage because it is recorded in unstructured clinical documentation which legacy solutions cannot process,” said Akshay Agarwal, co-founder and CEO of Onos Health. “AI has the potential to fundamentally transform how health plans manage care by making clinical quality and care pathways measurable at scale. Onos leverages proprietary AI to give plans unprecedented visibility into their populations, enabling them to proactively partner with providers, eliminate manual administrative work, and improve outcomes while driving efficiency across the healthcare system.”

Onos Health built the largest behavioral health care quality database to develop its AI platform, and partnered with leading health plans and industry medical leaders to build proprietary models to handle the immense complexity of behavioral health diagnoses and service lines. The result is a new platform capability deployed across national and regional health plans to solve some of behavioral health’s biggest challenges:

• 35% improvement in clinical standard adherence
• 75% improvement in clinical review efficiency resulting in fewer delays in care
• >6% reduction in behavioral health program costs within 12 months through improved clinical quality

“Behavioral health populations are often complex and require dedicated focus and coordination with health care providers to improve outcomes and affordability,” said Alyssa Reisner, Vice President and General Partner, CVS Health Ventures. “Onos Health helps surface actionable clinical insights from data that has historically been difficult to interpret. It provides a clearer understanding of treatment patterns and quality of care and supports more informed decision-making and collaboration with behavioral health care providers.”

Onos’ AI platform integrates claims, utilization and clinical documentation with quality guidelines to provide an actionable view of care pathways across populations. By analyzing both structured and unstructured data, the platform helps identify care patterns, treatment gaps, and areas for quality improvement. The platform demonstrates that more than 70% of behavioral health care quality signals are embedded in unstructured documentation, which Onos transforms into actionable clinical intelligence. These insights enable health plans to proactively collaborate with their provider networks to guide members toward the highest-quality, most cost-effective care options.

“Behavioral health is one of the largest and least understood categories in healthcare, representing billions of dollars in spend and enormous variation in care costs with low correlation to care quality,” said Amy Cheetham, Partner at Costanoa. “The Onos team understands firsthand the operational challenges health plans face, and they are building critical foundational infrastructure for behavioral health care that has been historically overlooked.”

“Onos is giving health plans the behavioral health clinical intelligence they need to move from reactive oversight to value-driven healthcare,” said Margaret Malone, Partner at Flare Capital Partners. ”Health plans using Onos’ AI-powered platform are seeing significant improvement in clinical quality and affordability, and we are excited to partner with Akshay and the team as they build the category”

About Onos Health
Onos Health is the behavioral health clinical intelligence platform that leverages proprietary AI to maximize health outcomes and affordability. Onos brings clarity to care quality and utilization, so payers can proactively partner with providers to identify the optimal care pathways for members and deliver the best possible outcomes across their populations. Built using the largest behavioral health quality database and trusted by 3 of the 6 largest health plans in the country, Onos enables a more collaborative and proactive approach for health plans and providers to achieve their health outcome goals.