We’re excited to announce our continued investment in Alaffia‘s $55M Series B, led by our friends at Transformation Capital.

AI is rewriting software faster than any tech wave we’ve seen, yet most enterprise implementations today are still generic chatbots bolted onto existing platforms/workflows. The real unlocks come when founders go deep with rich vertical context and proprietary data flywheels. This leads to precision that’s not only better than the off-the-shelf models, but trustworthy enough to take over a high-stakes workflow. There is perhaps no better example of this than what the Alaffia team has built for health plan operations.

Over $500Bn leaks out through administrative waste and improper billing as most health plans still rely on rigid legacy tools and inefficient outsourced labor. Through investments like Gravie on the employer insurance / benefits side and EvolutionIQ in insurance claims intelligence, we’ve spent years in health plan operations and seen firsthand how much administrative overhead still runs through the system. 

When we led Alaffia’s Series A, we saw medical claims review as a great wedge for AI to deliver real, measurable economic impact. There were a handful of companies focused on this problem on the provider side but a huge, untapped opportunity within health plans. TJ and Adun grew up in this world, helping run their parents’ medical coding business, and they’d built something that was already empowering clinical teams to review claims 20x faster.

Since then, Alaffia has generated over $120M in medical cost savings by enabling clinical teams to move faster on complex cases and now completely automating routine clinical case reviews. They’ve also expanded from payment integrity into the broader claims operations stack, and assembled an incredibly strong team across engineering, AI, and clinical solutions. Their Autodor platform ingests unstructured inputs, medical records, PDFs, claim and provider data, and turns them into traceable, reviewable outputs that fit clinical governance. In practice, workflows that used to take hours now take minutes, enabling teams to expand coverage and drive materially higher throughput with even greater accuracy.  

Health plans are taking note and turning to Alaffia’s agentic solutions as the only scalable path forward as they face rising utilization, shrinking margins, and an increasingly AI-enabled provider ecosystem. We’re thrilled to keep partnering with TJ, Adun, and the entire Alaffia team as they build the agent-powered operating layer for health plans.

Read Alaffia’s official funding announcement here