LifeRaft, an Oakland, Calif.-based insurtech company that offers supplemental health insurance products, came out of stealth mode and raised $3.5m in seed funding.

The round was co-led by Costanoa Ventures and XYZ Venture Capital.

The company intends to use the funds to further develop product offerings, expand reach and grow the team.

Founded in 2020 by insuretech and fintech veterans Ian Blumenfeld, Nimish Shukla, and Joyce Noah-Vanhoucke, LifeRaft provides health insurance products that sit alongside a subscriber’s traditional health plan to help policy holders see the doctors they need, access the most appropriate treatments and make medical care more affordable.

The company leverages its proprietary research and new technology platform to deliver insurance products that cover consumers for adverse health outcomes, such as hospitalization, acute medical conditions and complications that require specialized medical treatment.