Health Hero Network, a Redwood City start-up that provides a Web-based technology for people to monitor chronic health problems from their home, has raised $16 million in a second round of funding.

The product is called the Health Buddy System. The investment was led by existing investor Psilos Group and new investors California Technology Ventures, Integral Capital Partners and Boston Scientific. Existing investors Artal Services, Shoreline Venture Partners and ZG Ventures participated.

The Health Buddy System aims to give patients with chronic diseases a way to educate and monitor themselves at home through easy-to-use devices. Healthcare professionals access data transmitted from the patient.

The System is used by more than 16,000 patients via 120 Veteran Health Administration facilities, the company said.

Gosh, can this be true, or is this hype from the company’s release? (emphasis ours):

An estimated 133 million Americans, or about 45 percent of the population, have one or more chronic health conditions such as diabetes, heart failure or chronic obstructive pulmonary disorder (COPD). According to a 2004 study by the Robert Wood Foundation and Johns Hopkins University, spending for chronic illnesses represents 83 percent of total health care costs in the United States.