Future Family CEO Claire Tomkins Revolutionizes Fertility Financing with Innovative Insurance Product
San Francisco, CA – Claire Tomkins, a Stanford University PhD in applied economics and finance, is not only a mother of three through in vitro fertilization (IVF) but also teh CEO and founder of Future Family, a groundbreaking startup based in San Francisco. Future Family is transforming the landscape of fertility treatments by offering accessible payment plans and innovative insurance coverage.
tomkins’ personal journey with IVF ignited her entrepreneurial spirit, leading her to address a critical need in the family-building process. “We clearly needed a financial product for family building for IVF,” Tomkins told Entrepreneur, highlighting the often-overlooked financial burden of fertility treatments in the United States.
The High Cost of Hope: Addressing the Financial Barriers to IVF
IVF, while offering hope to many aspiring parents, presents significant financial challenges. According to the U.S. Department of Health and Human services,a single IVF cycle can range from $15,000 to upwards of $30,000. These costs can quickly become prohibitive for many American families.
Future Family aims to alleviate this burden with its tailored financial solutions. The company offers:
- IVF Payment Plans: Starting at $300 per month, these plans cover clinic procedures, lab work, and medications.
- Egg Freezing Payment Plans: Beginning at $150 per month, these plans include all the aforementioned services, plus storage costs.
Orange Shield Insurance: A “Baby or Your money Back” Guarantee
In February, Future family introduced Orange shield, an insurance product designed to mitigate the financial risks associated with IVF. With three refund tiers—$15,000 for one cycle, $30,000 for two, and $50,000 for two cycles with medication coverage—the average cost of protection is $3,000 upfront and $999 monthly for five months.
The most compelling feature of Orange shield is its “Baby or Your Money Back” guarantee. If IVF is unsuccessful after two cycles,patients can file an insurance claim and receive a refund. This guarantee directly addresses the emotional and financial uncertainty of IVF.
“[IVF is] this emotional and financial rollercoaster. Maybe it effectively works, maybe it doesn’t work the first time. We’re stepping in to say, ‘Okay, let’s try and address the financial rollercoaster so you can focus on your own emotional journey and your care while you’re a patient.'”
Claire Tomkins, CEO of Future Family
Overcoming Skepticism and Building a Viable Insurance Model
Tomkins faced skepticism in the insurance industry when proposing the concept of insuring IVF. “A lot of people in the insurance industry felt we were kind of crazy to say we can insure IVF,” she admitted. However, advancements in IVF success rates made it possible to underwrite the risk.Future Family developed an actuarial model to assess and manage this risk effectively.
Developing the insurance product was a complex 18-month process, requiring Future Family to define the policy’s structure and navigate technical challenges. The company’s multi-disbursement system allows it to directly pay clinics and pharmacies on behalf of patients, streamlining the financial process.
The final step involved securing reinsurance capacity. “That means a multi-billion-dollar firm says that they have read your documents, they’ve seen your actuarial model, and they want to provide capital,” Tomkins explained, emphasizing the rigorous scrutiny Future Family underwent to ensure the viability of its insurance product.
Future Family’s Impact and Future Outlook
Since its inception in 2016, Future Family has extended over $200 million in credit and served more than 10,000 patients. The company has raised $48 million in venture capital and recently secured a $400 million financing program from Clear Haven Capital Management to expand its lending platform.
Tomkins is optimistic about the future of fertility care. “I’m very excited to see that we’re having more national conversations around IVF and that we’re accepting that this is a very mainstream way to build your family,” she said. She believes that companies like Future Family, along with supportive federal and state policies and employer benefits, will ensure that everyone has access to affordable fertility care.
| IVF Cost Breakdown | Estimated Cost |
|---|---|
| Clinic Procedures | $5,000 – $10,000 |
| Lab Work | $3,000 – $5,000 |
| Medications | $2,000 – $5,000 |
| Total (per cycle) | $10,000 – $20,000+ |
