Digital addiction provider Pelago, formerly Quit Genius, has launched a new contingency management program for substance use disorder (SUD).
Contingency management programs incentivize positive behaviors by awarding participants with prizes, privileges or financial incentives for desired actions.
In Pelago’s program participants will be awarded a Pelatoken for certain behaviors including entering the app for the first time and completing a survey, completing and tracking recent substance use, scheduling an appointment with a coach or counselor and completing therapy exercises. Pelatokens can be redeemed for U.S. dollars, according to the company.
When it comes to treating substance use disorders, we know that motivation drives engagement, and engagement drives improved outcomes,” Suzette Glasner, Pelago’s chief scientific officer, said in a statement. “Our substance use management program is built on a foundation of successful, specialized substance use treatment, with rapid time to initiating care and individualized treatment pathways that incorporate both patient preferences and best practices rooted in addiction science.”
Pelago plans to pilot the program for its members seeking treatment for alcohol use disorder treatment but plans to eventually expand the initiative for other types of substance use disorders.
This new program launch comes just weeks after Pelago closed a $58 million Series C funding round. The San Francisco-based company has raised more than $151 million.
Pelago primarily operates in the B2B space. In 2022, the company announced it would go all-in on value-based care with a full-risk model. It serves health plans, employers, health systems and individual patients.
Pelago isn’t the only provider that has turned to contingency management programs. Virtual SUD treatment startup PursueCare offers a 12-week treatment program backed by a contingency management program. PursueCare recently raised $20 million in a Series B funding round.
Additionally, Affect Therapeutics, a virtual SUD provider, also uses financial incentives to help its clients maintain sobriety. Affect Therapeutics raised $16 million for its platform in 2023.
