Syntora
AI Automation
Small Business

Stop Manual Billing Errors: The ROI of Custom AI Automation

Custom AI automation for healthcare billing delivers a 3-5x return on investment within the first year. This is achieved by reducing claim denial rates and shortening the revenue cycle from weeks to days.

By Parker Gawne, Founder at Syntora|Updated Feb 26, 2026

The final ROI depends on your current Electronic Health Record (EHR) system, daily claim volume, and the complexity of your payer contracts. A practice using a modern EHR with a documented API is a straightforward build. A clinic using a legacy system that requires manual data exports needs a more involved integration.

We built a system for a 15-person physical therapy clinic processing 50 claims per day. Their billing specialist spent 4 hours daily cross-referencing notes and payer rules. We deployed their custom billing assistant in 4 weeks, reducing their claim error rate from 18% to under 2%.

What Problem Does This Solve?

Most small practices rely on the basic validation rules built into their EHR software. These tools can check if a required field is filled, but they cannot read a doctor's unstructured notes to suggest the correct CPT code. They also cannot adapt to the constantly changing rules of individual insurance payers, leading to frequent and costly claim denials that a biller must manually appeal.

A common scenario is a small dermatology practice using Kareo. To submit a claim for a mole removal, the biller must first read the pathologist's report, then manually look up the CPT code for the specific type of excision, cross-reference the patient's insurance for prior authorization, and finally enter the codes into Kareo. One mistake, like transposing two digits in an ICD-10 code, can cause a 60-day payment delay on a $1,200 procedure.

Attempts to solve this with generic workflow tools fail on two fronts. First, they are rarely HIPAA-compliant and cannot provide a Business Associate Agreement (BAA), making them a non-starter for handling Protected Health Information (PHI). Second, their pre-built connectors are not designed for healthcare data standards like HL7 or FHIR, resulting in brittle integrations that break when your EHR updates.

How Does It Work?

We begin by establishing a secure, HIPAA-compliant connection to your EHR, whether it's a modern system like athenahealth or a legacy platform. We use Python scripts with the `fhir.resources` library to parse patient encounter data. All credentials and sensitive data are managed through AWS Secrets Manager, never hardcoded.

The system's core is a FastAPI service that analyzes unstructured clinical notes using the Claude API. It extracts key diagnostic terms and procedural details to suggest the top three CPT and ICD-10 codes with confidence scores, a process that takes less than 900ms per note. We fine-tune this model using your practice's last 24 months of adjudicated claims to align suggestions with your specific payer mix and case history. A separate Supabase database stores your specific payer rules for real-time validation.

The service is deployed on AWS Lambda, which keeps hosting costs under $50 per month for a practice processing up to 10,000 claims monthly. When a provider finalizes a note in the EHR, a webhook triggers the Lambda function. The suggested codes and any payer-specific warnings appear directly in a custom field within the EHR's billing interface. This creates a human-in-the-loop workflow where your billing specialist reviews and approves the suggestions with a single click.

Every action is logged to a dedicated audit table in Supabase using `structlog` for structured, searchable records. This provides a complete audit trail for compliance. We configure AWS CloudWatch alerts to send a Slack notification if the API's error rate exceeds 0.5% or if latency surpasses 2 seconds, ensuring any issues are addressed before they impact your revenue cycle.

What Are the Key Benefits?

  • Cut Your Revenue Cycle from 45 to 15 Days

    Clean claims are submitted within hours of service, not days. By reducing denial rates by over 80%, you get paid by payers in two weeks, not six.

  • A One-Time Build, Not a Per-Seat Subscription

    Pay for the system once, with minimal monthly hosting costs. Your costs do not increase as you add more providers or staff to your practice.

  • You Own the Source Code and the System

    You receive the full Python source code in your own GitHub repository. The system is deployed in your AWS account, giving you complete control and ownership.

  • Proactive Monitoring Finds Errors Before Payers Do

    Custom alerts via AWS CloudWatch and Slack notify us if performance degrades, allowing us to fix issues before they result in rejected claims.

  • Integrates Directly Into Your Existing EHR

    The system writes suggestions back to your current EHR, like Kareo or AdvancedMD. Your staff works from a familiar interface without learning a new tool.

What Does the Process Look Like?

  1. Week 1: Systems and Data Audit

    You provide read-only access to your EHR and examples of common claims. We deliver a data flow diagram and a prioritized list of automation targets.

  2. Weeks 2-3: Core Logic Development

    We build the code suggestion engine and payer rule database. You receive access to a staging environment to test the logic with anonymized clinical notes.

  3. Week 4: EHR Integration and Deployment

    We connect the system to your live EHR and deploy it to your AWS account. You receive the live, functioning system for your team to begin using.

  4. Weeks 5-8: Monitoring and Handoff

    We monitor performance and fine-tune the suggestion models based on live data. You receive the complete source code repository and a system runbook.

Frequently Asked Questions

How much does a custom billing automation system cost?
Pricing is based on a fixed project scope, not hourly rates. The primary factors are the complexity of your EHR integration, the number of unique insurance payers we need to model, and the volume of historical claims data for training. We provide a firm quote after our initial discovery call, where we can assess these factors. Book a call at cal.com/syntora/discover.
What happens if the AI suggests the wrong code?
The system is designed as a co-pilot, not an autopilot. It suggests codes with a confidence score, but your trained billing specialist makes the final approval. This human-in-the-loop design prevents errors from reaching the payer. Every suggestion and final decision is logged, creating an audit trail that shows who approved which codes and when, ensuring accountability.
How is this different from using a large medical billing service?
Medical billing services take a percentage of your collected revenue, typically 5-8%, forever. Syntora builds a system that you own for a one-time project fee. This empowers your in-house team, lowers your long-term operational costs, and keeps control over your patient and financial data within your practice. The asset you build appreciates in value as it learns from your data.
Is this system HIPAA compliant?
Yes. We sign a Business Associate Agreement (BAA) before any work begins. The system is built exclusively on HIPAA-eligible services like AWS Lambda and Supabase. All data is encrypted in transit and at rest, and the architecture is designed to meet or exceed HIPAA's technical safeguards. We also provide a complete audit log of all system actions involving patient data.
What if we use an older EHR system without a modern API?
If a direct API integration is not possible, we can often work with scheduled data exports, such as nightly CSV or XML files sent to a secure SFTP server. The automation would run in batches rather than in real-time, but it can still process claims, suggest codes, and provide a file for your team to import back into the EHR. We assess this during the initial audit.
What if our historical billing data is messy?
This is expected. Nearly every practice has inconsistencies in its historical data. Our process includes a data cleaning and normalization phase where we use scripts to correct common issues and flag outliers. We can typically build a reliable training model from messy data as long as the underlying clinical notes are of sufficient quality and there are at least 12-18 months of history.

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