U.S. Bank buys healthcare financial technology company Salucro Healthcare

Salucro will be integrated into merchant services and payment processing provider Elavon

Among the problems the healthcare industry faces, payment processing problems are among the most pressing. Hospitals and health systems have to deal with data security, with providers needing to protect patients' data from unauthorized access or theft, while also dealing with the complexity of the payment process, which involves multiple parties, which can cause confusion and delays.

For example, almost $265 billion in claims made by US healthcare organizations are denied because of the way claims are coded on payor documentation.

Salucro Healthcare looks to solve this by offering healthcare financial technology, focused on patient payments and billing. On Thursday, the Tempe, Arizona-based company was acquired for an undisclosed amount by U.S. Bank, lead bank of U.S. Bancorp.

Founded in 2004, Salucro offers a single platform that's designed to improve the patient billing process for providers. On the patients' end, they get statements and payment reminders, allowing them to pay via text message, while it also automates operations for collection teams by integrating with EHRs and patient accounting tools. That includes single sign-on, auto-posting, and data transfer. 

Salucro had previously been a partner of merchant services and payment processing provider Elavon, the merchant acquiring unit within U.S. Bank. U.S. Bank also invested in Salucro in 2022, contributing to the company's $58.8 million in venture funding, and Salucro's platform is sold through Elavon as MedEpay. 

As of the closing of the acquisition on Wednesday, Salucro will be integrated into Elavon, and the company's team members are now employees of U.S. Bank.

U.S. Bancorp, with more than 70,000 employees and $680 billion in assets, is the parent company of U.S. Bank National Association. The Minneapolis-based company serves millions of customers globally, offering consumer banking, business banking, commercial banking, institutional banking, payments, and wealth management. 

In the release, the company noted that the acquisition of Salucro "builds on the bank’s more than a century of service to healthcare-focused clients," providing banking and payment services to healthcare organizations, including hospital systems, insurers, medical equipment manufacturers and medical, dental, and veterinary practices.

“U.S. Bank is a leader in providing banking and payments services to the healthcare industry, making it easier for providers and patients to focus on what’s most important to them,” said Shailesh Kotwal, vice chair of U.S. Bank Payment Services.

“Salucro’s robust billing and payment platform is an ideal complement to offerings we provide throughout U.S. Bank and Elavon.”

(Image source: salucro.com)