Healthcare·Pre-seed → Series C

How AyuHealth Cut Insurance Processing from 5 Hours to 1 Hour with AI

Built an AI-powered document processing system handling 30,000+ medical documents daily with >95% accuracy — the core revenue engine behind AyuHealth's growth to Series C ($100M)

Google Document AIGeminiOpenCVChatGPTJavaSpring BootGCP
5hr → 1hr
Processing Speed
30,000+
Docs/Day
>95%
Classification Accuracy
60%
LLM Cost Savings

The Challenge

AyuHealth's business model hinged on processing medical bills and surgery insurance cases faster than anyone else. But insurance document processing is a nightmare — hospitals submit poorly-scanned paperwork across 10+ document categories, each requiring different compliance checks and data extraction.

The manual process took 5 hours per case. At that speed, the unit economics didn't work. Without automation, AyuHealth couldn't scale — and without scale, the Series A pitch had no teeth.

They needed:

  • Automated classification across 10+ document categories with near-human accuracy
  • Compliance checking and data extraction that could handle the reality of messy hospital paperwork
  • Processing speed that would make hospital partners choose AyuHealth over competitors
  • Cost-efficient AI — burning $5k/month on LLM calls wasn't sustainable at startup scale

The Solution

Built the entire document AI pipeline as founding engineer — from image preprocessing to classification to extraction to compliance checking.

Three-Stage AI Pipeline

The key architectural decision: don't run expensive Document AI on every page. Medical submissions often contain 50+ pages, but only 10-15 are relevant for processing.

  • Stage 1: Document Classification — classify each incoming page into its document category (discharge summary, bill, prescription, lab report, insurance form, etc.) to understand what you're dealing with before any extraction begins
  • Stage 2: Relevance Triage — ChatGPT identifies which classified pages are actually relevant for processing based on content signals — fast, cheap filtering
  • Stage 3: Deep Extraction — Google Document AI runs extraction only on the relevant, pre-classified pages that matter

This three-stage approach cut LLM costs from $5k to $2k/month (60% savings) without sacrificing accuracy. By classifying first, the system knew exactly what type of extraction to run on each page — and by triaging second, it avoided running expensive extraction on irrelevant pages entirely.

Document Classification & Extraction

  • Google Document AI + Vision API + Gemini for multi-model classification across 10+ categories — discharge summaries, bills, prescriptions, lab reports, insurance forms
  • Custom OCR pipeline for edge cases where standard models struggled with handwritten notes or degraded scans
  • >95% classification accuracy — high enough that human reviewers only needed to check edge cases

Image Preprocessing

Hospital paperwork arrives in every condition imaginable — skewed scans, low contrast, partial pages, phone photos of documents.

  • OpenCV-based preprocessing pipeline — deskewing, contrast enhancement, noise reduction, bounding box detection
  • Document readability improved to >90% before hitting the classification models
  • Visual annotation with bounding boxes on source documents so reviewers could see exactly what the AI extracted and from where

The Impact

  • Processing time: 5 hours → 1 hour (80% faster) — hospital partners reported the fastest processing they had ever seen
  • 30,000+ documents processed daily at production scale
  • >95% classification accuracy across 10+ document categories
  • LLM costs cut 60% ($5k → $2k/month) through intelligent three-stage processing
  • Core revenue engine — this system's speed became AyuHealth's primary competitive advantage and a key part of every investor pitch through $100M+ in funding

Testimonial

"Plenvo didn't just build our tech — they were our tech team. The speed and quality of what they delivered was instrumental to every fundraise we did."

Founding Team, AyuHealth

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