Lively, a US-based provider of health savings accounts (HSAs), has attracted $27m in a series B round featuring Ally Ventures, the venture capital arm of financial services holding firm Ally Financial.
VC firm Costanoa Ventures led the round with participation from seed fund Liquid 2 Ventures, accelerator operator Y Combinator and VC firms PJC, Teamworthy Ventures and Streamlined Ventures.
Founded in 2016, Lively provides HSAs that are accessed through its software platform, enabling US taxpayers to save toward eligible health insurance plans while taking advantage of certain tax breaks.
The company offers products catered to individuals and employers, and also markets a health insurance policy underwritten by insurance broker TD Ameritrade that can be leveraged alongside its savings account.
Lively will put the series B proceeds toward developing additional products and improving its central savings platform, in addition to expanding its healthcare, payments and customer service teams.
The round brought Lively’s funding to more than $42m altogether. Costanoa Ventures led its last round, an $11m series A in October 2018 that was also backed by Y Combinator, PJC and Transmedia Capital.
The company had raised $4.2m in seed funding from seed Streamlined Ventures, Transmedia Capital, Y Combinator, Liquid 2 Ventures, PJC, SV Angel, Durant Company, assorted angel investors and Teamworthy Ventures, then called Haystack Partners. Its early backers also include FundersClub.