Procode AI has launched publicly with a strategy to apply artificial intelligence to revenue cycle management (RCM) for complex surgical procedures. Founded by Jeff Cripe, Kameron Rezzadeh, and James Baez-Silva, the startup aims to improve efficiency in a fragmented outsourced medical billing sector valued at about $15 billion. The company is pursuing an “AI roll-up” strategy that combines software development with acquisitions of existing billing firms.
As part of this approach, Procode AI acquired The Auctus Group, a firm focused on plastic surgery and dermatology practices, which serves more than 300 healthcare providers. Procode AI has introduced tools, including an AI coding assistant for surgery, an automated accounts receivable and denial management system, and a mobile platform that gives surgeons real-time access to claims and financial data.
Cripe said the company’s approach focuses on enhancing productivity rather than replacing staff in billing organizations. “Our strategy is to acquire these companies, keep all of their people, but give them tools that will make them three to five times effective and productive,” he said. He added that the company intentionally retained employees after acquiring Auctus, noting, “Our goal is not to replace people with AI. It is to use AI to make those same employees superhuman at what they do.”
According to the company, its AI coding copilot can translate operative reports into billing codes and enables coders to work about 90% faster while reducing errors compared with manual processes. Procode AI plans to expand its services into additional surgical specialties and pursue further acquisitions as it builds a larger AI-driven billing platform for private medical practices.
