History

ikaSystems is passionately committed to the automation and integration of health insurers’ business processes, which in turn enables the more effective use of information shared and collected during those processes. The company was founded in 1999 on the fundamental understanding that legacy information systems do not have the agility that health plans require to respond quickly to a complex and evolving healthcare environment. Since then, the history of ikaSystems has been one of consistently rapid growth and remarkable innovation.

Ravi Ika was an entrepreneur in global consulting services when he recognized an opportunity in the health insurance market. With a small team, he conducted an extensive research study analyzing the business processes of over 100 health plans across the United States. The study revealed an industry mired in paper-based processes, grappling with multiple fragmented, inflexible, expensive systems from legacy vendors, and challenged to make effective decisions based on sound, enterprise-wide business and medical information.

ikaSystems was founded to address the industry’s growing demand for automation, transparency, reduced administrative and medical care expenses, and more accurate and precise medical intelligence. In 2002, the company launched ikaPortals, allowing health plan members, providers, sales staff/brokers, employers and health plan administrative staff to not just access information but also “self-service” via the Web. In 2004, ikaSystems acquired Minnesota-based DataMedica and systems for physician profiling, HEDIS reporting and claims processing and management. In 2005, all systems were integrated and transitioned to a Microsoft .NET platform, and additional modules were added over time.

The result is ikaEnterprise, a technology platform utilizing cloud computing that works across all health plan departments and business lines to optimize the allocation of healthcare premiums between administrative costs, medical costs and health plan profits. The ability to collaboratively share data, processes and decision making is at the heart of ikaEnterprise, which automates functions across the enterprise and meets over 90 percent of health plan technology needs. Most significantly, however, ikaEnterprise’s cutting-edge technology allows deployment timeframes that were previously unheard of — months instead of years.

Until 2007, communicating the value of this new technology paradigm to the market was difficult. However, ikaSystems established showcases with some notable early adopters, which began sharing their success stories in 2008, garnering awards from Gartner and IDC Health Insights for innovation and proven results. In 2009, challenge transformed into financial opportunity. Providence Equity Partners, the sixth largest global private equity firm, and Essex Woodlands Health Ventures, one of the nation’s largest and oldest venture capital and growth equity firms, recognized ikaSystems’ potential as an innovator in a market not known for innovation and made significant investments in the company’s continued growth and success.

Today, ikaSystems continues to revolutionize the health insurance industry by turning the challenges of forced change into market opportunities for its growing list of clients.