Carrot, a fertility and family care benefits platform, has expanded its plan design options to include cycle-based coverage for fertility treatments. Customers can now choose between a benefit maximum design, which provides a set dollar amount for coverage, or a cycle-based design, which covers a defined number of treatment rounds for US-based fertility journeys.
The company says both options work with its existing services, including Carrot Rx for reduced medication costs and its network of clinics offering direct payment.
“Many of our customers want more flexibility in how fertility benefits are structured, without misaligned incentives or fragmented experiences,” said Tammy Sun, Founder and CEO of Carrot. “By adding a cycle-based option under our Flexible Plan Design, we’re expanding choices in plan design while keeping clinical outcomes and member experience at the center.”
Carrot says its engagement-based revenue model remains the same regardless of plan type – the company generates revenue based on member engagement rather than the number of treatments members undergo. The company says this differs from traditional cycle-based models that can create misaligned incentives by tying revenue to procedure volume.
