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GATC, MCI team on AI clinical trial funding and insurance model

Posted by on 28 August 2024
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GATC Health Corp. has partnered with insurance firm Medical and Commercial International Limited to develop a new artificial intelligence (AI)-based financing model for clinical trials.

The model, which has approved by Lloyd’s of London, is designed to offer the biotech industry access to insurance coverage for clinical trial funding in the event of study failure. According to GATC, the aim is to address the financial challenges and obstacles inherent to early-stage drug development companies.

The idea is to use GATC’s AI technology and machine learning systems to simulate complex human physiology and accurately predict the efficacy, safety, and off-target impact side effects of novel pharmaceutical assets and then use this modeling to forecast trial endpoints.

MCI CEO Phil Trafford said, “Clinical trial funding insurance is a revolutionary new insurance product with huge unmet demand, and access to Lloyd’s will allow MCI to capitalize on this opportunity.

“Working side-by-side with lenders and investors, this new program will promote medical innovation and promises a level of risk assessment accuracy unparalleled in the industry”

GATC chief John Stroh, who agreed, commented, “Through our new relationship with MCI, backed by Lloyd’s, we aim to transform the drug development financial model to bring safer and more effective treatments to those who are suffering from acute medical conditions.”

Regarding the partnership, global managing director of Acrisure Re Corporate Advisory and Solutions, Ben Canagaretna, said, “GATC’s AI has enabled this first-of-a-kind combination of financing protected by insurance in case the clinical trial is not successful.”

He added, “The early response from biotech companies and large brokerage firms for this product has exceeded our expectations which represents the pent-up demand for this innovative financing program.”

GATC claims it’s Multiomics Advanced Technology platform was used to discover and trial seven drug candidates in the past two years.

Deposit Photos/Funtap


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