Trump's win could alter plans for these startups

President-elect Donald Trump's victory is drawing the attention of digital health companies focused on vulnerable populations.

Executives at gender affirming care and abortion care startups are expressing concern with the incoming administration's rhetoric around their patient populations. Folx Health, which serves LGBTQIA+ patients and provides gender-affirming, fertility and primary care, plans to reassure its customers once Trump takes office, said Chief Clinical Officer Kate Steinle. 

Related: Trump win tees up regulatory rollbacks and uncertainty

"We can't take away the rhetoric that is happening in the Republican Party that is demonizing [our population]," Steinle said. "What we can do is continue to make sure we are communicating with them that nothing has changed in their access to care."

Trump's campaign often used anti-transgender rhetoric when referring to the population. Folx, which also offers therapy and care navigation services, is evaluating potential policy changes and preparing for disruptions to its care model at both the state and federal level, Steinle said.

“We know that we could easily be targeted," Steinle said. 

The company is bolstering its network of therapists and mental health support groups next year as it anticipates harmful rhetoric against its patient community to continue. Still, Steinle said Folx doesn't expect the election result to have an immediate material impact on its businesses. Other companies may have to change how they operate.

Women's health startups are monitoring how rule changes at the federal level could force them to pivot. Monica Cepak, CEO of women’s health startup Wisp, said the company witnessed an influx in patients purchasing emergency contraception pills following Trump’s election win on Tuesday. Cepak attributed the sales surge to women's fears about Republicans adopting further abortion care restrictions.

Companies like Wisp, which administer abortion care via telehealth and then ship medication to a patient after the virtual encounter, might have to find alternative ways to operate if the Trump administration changes federal government guidance. In December 2022, the Justice Department under President Biden issued a memo concluding the Comstock Act did not prohibit the mailing or delivery of abortion medication. However, Trump could direct the Justice Department to begin enforcing the law or change the current interpretation, which would affect carriers shipping drugs used for abortion, said Randi Seigel, partner at law firm Manatt, Phelps & Phillips. 

“I think if you're in the business of providing abortion inducing medication through the mail after a telehealth encounter, there is a real and present threat to that business,” Seigel said. 

Wisp ships abortion-inducing medications prescribed from a telehealth appointment to patients in nine states. Cepak said the company is prepared to adjust its model if the regulatory environment changes and has spoken with legal experts to discuss how potential policy changes will impact its business. 

Plan C, a non-profit group aiming to help abortion seekers to obtain medication by mail, said in a statement it fully expected the Trump Administration to push for a national abortion ban and support additional state bans or restrictions.

The Trump campaign did not respond to a request for comment.

Not all telehealth abortion providers have immediate concerns. Kiki Freedman, CEO and co-founder at virtual women's health provider Hey Jane, said in a statement nothing will change immediately for patients seeking care. Freedman said the company was confident it could ensure patients would continue to receive care regardless of the political climate.