Avelis Health

Avelis Health is a healthcare technology company that utilizes artificial intelligence to audit medical claims and identify billing errors for self-insured employers and health plans. The organization analyzes medical bills line by line to reduce out-of-pocket costs and recently expanded its software to include a Payment Integrity product designed to prevent incorrect payments before they are issued. Operating with a team of three employees, the enterprise has helped patients collectively reduce hundreds of thousands of dollars in medical expenses through its automated auditing platform. Backed by a $500,000 pre-seed investment from Y Combinator as part of its S25 batch, the startup leverages the founders' prior experience at Google and their previous fintech venture, Zuvy, which was acquired by The BAS Group. Avelis Health was founded in 2025 by Harvard alumnus Angel Onuoha and Ahmad Shehu.

Avelis Health is a healthcare technology company founded in 2025 that provides an AI-powered platform to audit medical claims for self-insured employers and health plans. Its platform identifies and recovers overpayments by analyzing 100% of claims, automates medical record retrieval using voice AI, and secures financial assistance from non-profit hospitals to optimize health plan spending and reduce patient costs[1][2][3]. The company primarily serves self-funded health plan sponsors, including employers and Taft-Hartley plans, addressing the $100B+ annual loss due to medical claim overpayments[1][2]. Avelis Health operates on a performance-based revenue model, taking a percentage of recovered funds[1].

Founded by Angel Onuoha, a Harvard-educated serial entrepreneur with experience scaling fintech companies, and Ahmad Shehu, a healthcare data platform expert, the company emerged from Onuoha’s personal struggle with inflated medical bills totaling over $250,000 following multiple knee surgeries[2][3][4]. Early traction includes saving hundreds of thousands of dollars for patients and securing $500,000 in pre-seed funding from Y Combinator to launch its Payment Integrity solution for self-insured employers, which audits claims in real time and saves companies 8-10% on annual health plan spend without impacting employee benefits[4].

Core Differentiators

• Comprehensive AI Auditing: Uses machine learning models to review 100% of medical claims, not just high-dollar ones, uncovering systematic errors missed by legacy systems[2][3].
• Voice AI Automation: Automates medical record retrieval with voice agents, streamlining a traditionally manual and slow process[2][3].
• Clinical Validation with LLMs: Employs large language models to validate billing accuracy against medical records, enhancing audit precision[2].
• Performance-Based Revenue Model: Aligns incentives by charging based on recovered funds, reducing upfront costs for clients[1].
• Dual Focus on Prevention and Recovery: Integrates into existing claim systems to prevent wrongful payments before they occur and recover funds already lost[2].

Role in the Broader Tech Landscape

Avelis Health rides the growing trend of applying AI and automation to healthcare cost management, a sector burdened by inefficiencies and rising expenses. The timing is critical as self-insured employers seek innovative solutions to control healthcare spending and improve patient financial outcomes amid escalating premiums and out-of-pocket costs[2][4]. By addressing systemic billing errors and automating complex administrative tasks, Avelis Health contributes to the broader ecosystem of healthcare fintech innovation, potentially influencing how claims auditing and patient assistance are managed industry-wide.

Quick Take & Future Outlook

Looking ahead, Avelis Health is poised to expand its Payment Integrity platform, leveraging its AI capabilities to capture more market share among self-insured employers and health plans. Trends such as increased adoption of AI in healthcare administration, regulatory pressures on cost transparency, and growing employer demand for cost containment will shape its trajectory. As it scales, Avelis Health’s influence may extend beyond claims auditing to broader healthcare financial management, driving systemic improvements in cost efficiency and patient financial protection.

This forward momentum ties back to its founding mission: transforming the medical billing landscape by preventing inflated charges before they reach patients, thereby reducing financial burdens and improving healthcare affordability.