Problem

Medical billing is a complex, expensive administrative burden that diverts healthcare providers from patient care. Providers typically spend 2%–10% of their revenue simply getting paid for services already delivered; payment can take weeks or months—or never arrive—and often requires extensive manual work. The alternative is to hire a large in-house billing operation or pay an outsourced billing company up to 10% of revenue, often with limited visibility into the process.

Overdrive’s initial “killer use case” is ambulance and EMS billing, where claims are particularly operationally intensive and the company identifies a roughly $2 billion billing opportunity within a $40 billion U.S. ambulance industry. Its economics are built around making it worthwhile to pursue small or difficult claims that traditional billing providers may ignore: by automating phone calls, documentation checks, benefit verification, and related work, even a $100 claim can be profitable to collect.

Product / Service

Overdrive Health is an AI-native, full-stack medical billing and revenue-cycle-management service. It combines software engineers, AI systems, and expert billers rather than scaling primarily through a large labor force. The platform automates the revenue cycle from insurance discovery and real-time eligibility verification through documentation quality assurance, coding, claims submission, patient invoicing and collections, denial management, and appeals, while retaining human oversight for quality and compliance.

The delivery model is outsourced billing supported by HIPAA-compliant, enterprise-ready technology. By automating repetitive work and using humans for expert review, Overdrive says it can reduce billing costs, improve consistency, pursue more of the money owed to providers, and get claims paid faster. The company’s site reports more than $100 million in claims submitted annually and over 100,000 eligibility checks per year, while customer testimonials describe immediate ROI, staffing relief, and the ability to onboard clients without adding equivalent billing headcount.

Market

Overdrive competes in healthcare revenue cycle management, particularly the intersection of outsourced medical billing, AI-enabled claims operations, and EMS or ambulance billing. The broader competitive set includes incumbent billing firms and RCM platforms such as Waystar, Availity, athenahealth, and Infinx; Kovo RCM is a more directly comparable EMS-focused billing specialist. Overdrive’s differentiation is the combination of a full-service billing operation with AI automation, rather than selling software alone or relying primarily on offshore billing labor.

The company was founded in 2025, is a YC Winter 2026 company, and is led by founder and CEO Michael Schroeder. Its YC launch materials described an acquisition of a traditional ambulance billing agency serving approximately 20 ambulance providers and handling more than $50 million in annual claims; they also reported that revenue per full-time employee nearly doubled after the company’s AI agents were introduced. Overdrive’s current website reports more than $100 million in claims submitted annually, indicating active operating traction rather than a purely pre-revenue product, although the retrieved materials do not disclose company revenue or profitability.