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Catch Failures Early.
Prove Performance Continuously.

Catch Failures Early.
Prove Performance Continuously.

Catch
Failures Early.

Prove Performance Continuously.

Healthcare AI doesn't fail all at once. It drifts, degrades, and creates risk in ways standard testing misses. We build evaluation systems that detect problems before they reach patients and demonstrate reliability to the stakeholders who need proof.

gold and silver round frame magnifying glass

What Are AI Evaluations?

Evaluations are systematic processes that measure AI accuracy, clinical appropriateness, and compliance with requirements over time.

They answer three questions:

  1. Does this AI work? (Accuracy, completeness, reasoning quality)

  2. Does it work for everyone? (Performance across conditions, demographics, edge cases)

  3. Does it keep working? (Detecting degradation before it causes problems)

Without evaluations, you're deploying blind. You won't know when performance degrades, when bias emerges, or when AI starts generating clinically inappropriate content.

For product builders:

Evaluations are how you prove to hospitals that your AI meets clinical standards. Hospital procurement committees will ask for evaluation data on real EHR data, clinical expert review results, and bias audits. Without them, you won't make it past the technical review.

For hospital buyers:

Evaluations are how you verify vendor claims before putting AI into production. Vendor benchmarks scores tell you nothing about performance on your patient population with your workflows. Demand evaluation on your data before signing contracts.

Why Healthcare AI Needs Continuous Evaluation

AI models degrade over time. What worked last quarter might fail this quarter because:

Clinical guidelines evolve

New evidence emerges. Treatment protocols change. Your AI trained on 2023 guidelines gives 2024 recommendations.

Payer policies change

Insurance companies update coverage criteria quarterly. Your prior auth AI uses outdated requirements, generating denials.

EHR data patterns shift

Your hospital switched documentation templates. AI trained on old formats can't parse new notes correctly.

Patient populations change

Demographics shift. New comorbidities emerge. AI trained on historical data faces scenarios it hasn't seen.

Edge cases accumulate

Your AI handles 90% of cases well. The other 10% reveal systematic failures you didn't catch in initial testing.

Clinical guidelines evolve

New evidence emerges. Treatment protocols change. Your AI trained on 2023 guidelines gives 2024 recommendations.

Payer policies change

Insurance companies update coverage criteria quarterly. Your prior auth AI uses outdated requirements, generating denials.

EHR data patterns shift

Your hospital switched documentation templates. AI trained on old formats can't parse new notes correctly.

Patient populations change

Demographics shift. New comorbidities emerge. AI trained on historical data faces scenarios it hasn't seen.

Edge cases accumulate

Your AI handles 90% of cases well. The other 10% reveal systematic failures you didn't catch in initial testing.

Without continuous evaluation, you discover these problems when:

  • Physicians reject AI documentation repeatedly (trust collapses)

  • Payer denials spike (revenue impact)

  • Clinical staff report inappropriate recommendations (safety risk)

  • Regulators audit and find issues (compliance violation)

With continuous evaluation, you discover problems before they reach patients.

Why Benchmarks Don't Tell You What You Need to Know

Benchmarks are standardized tests used to evaluate AI performance.

In healthcare, these include medical licensing exams (USMLE), question-answering datasets (MedQA, PubMedQA), and clinical reasoning tests. They provide a consistent way to compare different AI models on the same tasks. But benchmark performance doesn't predict production performance. GPT-4 passed medical licensing exams with near-perfect scores. When tested on real physician queries, it achieved 65% accuracy.

The gap between test performance and clinical reality:

Benchmarks test isolated knowledge

Medical exams use clean multiple-choice questions. Real clinical work involves missing data, contradictory test results, and probabilistic trade-offs.

Benchmarks use synthetic data

Only 5% of published LLM healthcare evaluations use real EHR data. Models trained on public datasets (MIMIC, PubMed) may fail on your institution's documentation patterns, terminology, and patient population.

Benchmarks hide bias

Most datasets underrepresent minority populations. Your AI might score 90% on benchmarks but systematically underperform on specific demographics.

Benchmarks measure single-turn responses

They test "Can AI answer this question?" Production systems need "Can AI execute a multi-step workflow, handle exceptions, coordinate with other agents, and maintain compliance over weeks?"

Benchmarks test isolated knowledge

Medical exams use clean multiple-choice questions. Real clinical work involves missing data, contradictory test results, and probabilistic trade-offs.

Benchmarks use synthetic data

Only 5% of published LLM healthcare evaluations use real EHR data. Models trained on public datasets (MIMIC, PubMed) may fail on your institution's documentation patterns, terminology, and patient population.

Benchmarks hide bias

Most datasets underrepresent minority populations. Your AI might score 90% on benchmarks but systematically underperform on specific demographics.

Benchmarks measure single-turn responses

They test "Can AI answer this question?" Production systems need "Can AI execute a multi-step workflow, handle exceptions, coordinate with other agents, and maintain compliance over weeks?"

A prior authorization agent that passes all benchmarks can still fail in production because benchmarks don't test system integration, error recovery, human coordination, or audit trail compliance.

The Three-Layer Evaluation Framework

The Three-Layer Evaluation Framework

Layer 1: Automated Evaluations (Run on Every Output)

Accuracy checks

Does AI-generated content match source data?


Example: AI says "Patient's HbA1c is 8.2%." Automated check verifies this against actual lab value in EHR. Mismatch triggers alert.

Completeness checks

Are required elements present?


Example: Prior authorization requires clinical indication, relevant history, medical necessity. Check confirms all sections populated.

Consistency checks

Do similar cases produce similar outputs?


Example: Two patients with identical diabetes profiles should get similar prior auth documentation. Large variations indicate problem.

Policy compliance

Does output meet current requirements?


Example: Documentation cites payer criteria version from Q3 2024, not outdated Q1 2023 version.

Run these on 100% of outputs. Flag failures immediately.

Layer 2: Clinical Expert Review (Sample-Based)

Automated checks catch technical errors. They don't catch clinical inappropriateness.

What physicians review:

  • Is the clinical reasoning sound?

  • Would I approve this if it came from a colleague?

  • Are there safety concerns I'd catch that AI missed?

  • Is the documentation quality acceptable for the medical record?

Sample size: 5-10% of outputs, randomly selected. Higher for new AI deployments, lower for mature systems.

Frequency: Weekly for high-volume workflows. Monthly for lower-volume.

Scoring rubric:

  • Clinical accuracy: Facts correct? (Yes/No)

  • Clinical appropriateness: Reasoning sound? (1-5 scale)

  • Documentation quality: Meets standards? (1-5 scale)

  • Safety concerns: Any red flags? (Yes/No with explanation)

Action thresholds:

  • Any safety concern → Immediate investigation

  • Appropriateness score <4 → Review that case category

  • Quality score trending down → Retrain or update AI

Layer 3: Operational Metrics (Measure Real-World Impact)

Approval rates

How often do staff approve AI output without edits?


Target: >90% for mature systems
Low rate indicates quality problems or inappropriate content

Edit patterns

What do staff consistently change?


If 40% of edits remove the same type of information, that's a systematic problem to fix.

Payer approval rates

For prior authorizations, how often do payers approve?


Compare to baseline. If AI-assisted authorizations have lower approval rates, something's wrong.

Time savings

Are workflows actually faster?


Measure end-to-end time: AI execution + staff review. Compare to baseline manual process.

Staff satisfaction

Do staff find AI helpful or burdensome?


Survey monthly. Track trends. Declining satisfaction predicts adoption failure.

Industry-Standard Evaluation Frameworks

Industry-Standard Evaluation Frameworks

Industry-Standard Evaluation Frameworks

Three frameworks set the standard for healthcare AI evaluation. Hospitals reference them during procurement. Regulators expect you to know them.

Stanford
MedHELM

Stanford
MedHELM

Stanford MedHELM

What it is:

121 real-world medical tasks, 31 datasets (mostly real EHR data), clinician-validated taxonomy organizing medical AI into five categories: clinical decision support, clinical documentation, patient communication, medical research, administrative workflows.


Why it matters:

First evaluation framework grounded in actual clinical workflows, not researcher convenience. Model performance on synthetic benchmarks sometimes reverses on real EHR data. Artificial tasks mislead.


Key results:
When Stanford evaluated frontier LLMs, performance varied dramatically across task categories. Models excelling in clinical decision support might underperform on patient communication.


When to reference it:
During product development to ensure you're testing on realistic tasks. During hospital procurement to show you've evaluated against clinical standards.

OpenAI
HealthBench

OpenAI
HealthBench

OpenAI HealthBench

What it is:

5,000 multi-turn conversations simulating real interactions, evaluated by physician-written rubrics. 48,562 rubric criteria across five dimensions. 262 physician validators across 26 specialties and 60 countries.


Why it matters:

Evaluates realistic clinical conversations using multidimensional rubrics. Single-score benchmarks hide distinct aspects of clinical quality (accuracy vs. communication vs. context awareness). Same model might excel at emergency triage but struggle with patient education.


Key results:
Automated grading using GPT-4 achieved 0.71 agreement with human physicians, comparable to inter-physician agreement. LLM-based evaluation can be reliable when properly designed.


When to reference it:
When evaluating conversational AI or patient-facing systems. Use the five-dimensional framework (accuracy, completeness, context awareness, communication, instruction-following) for your own evaluation rubrics.

Microsoft Healthcare
AI Model Evaluator

Microsoft Healthcare
AI Model Evaluator

Microsoft Healthcare
AI Model Evaluator

What it is:

Open-source evaluation framework integrated with Azure AI Foundry. Lets organizations assess AI on their own data with their own success criteria.


Why it matters:

Generic benchmarks inform research. Healthcare organizations care about performance on their specific patient population with their specific workflows. This provides the infrastructure for that.


Key results:
Evaluation should be embedded in the agent lifecycle: pre-deployment validation, continuous monitoring, regression testing, compliance documentation. Not a one-time checkpoint.


When to reference it:
When building evaluation infrastructure for your product or organization. Reference architecture for production systems.

Evaluation by Use Case
(What to Measure)

Evaluation by
Use Case
(What to Measure)

Different healthcare AI applications need different evaluation approaches.

01.

Prior Authorization and Administrative Automation

Primary metrics:

  • Accuracy on standard cases: >95%

  • Appropriate escalation on edge cases: >90%

  • Processing cost reduction: Measurable decrease

  • Payer approval rate: Compare to baseline (should improve, not decline)

Evaluation approach:

  • Ground truth: Compare agent decisions against expert adjudication on complex cases

  • Compliance audit: Verify documentation, escalation criteria, audit trails

  • Clinician feedback: Assess recommendations from care team perspective

Red flags:

  • High accuracy on benchmarks but declining payer approval rates in production

  • Staff consistently editing same sections (systematic problem)

  • Edge cases routed to wrong expertise level

01.

Prior Authorization and Administrative Automation

Primary metrics:

  • Accuracy on standard cases: >95%

  • Appropriate escalation on edge cases: >90%

  • Processing cost reduction: Measurable decrease

  • Payer approval rate: Compare to baseline (should improve, not decline)

Evaluation approach:

  • Ground truth: Compare agent decisions against expert adjudication on complex cases

  • Compliance audit: Verify documentation, escalation criteria, audit trails

  • Clinician feedback: Assess recommendations from care team perspective

Red flags:

  • High accuracy on benchmarks but declining payer approval rates in production

  • Staff consistently editing same sections (systematic problem)

  • Edge cases routed to wrong expertise level

01.

Prior Authorization and Administrative Automation

Primary metrics:

  • Accuracy on standard cases: >95%

  • Appropriate escalation on edge cases: >90%

  • Processing cost reduction: Measurable decrease

  • Payer approval rate: Compare to baseline (should improve, not decline)

Evaluation approach:

  • Ground truth: Compare agent decisions against expert adjudication on complex cases

  • Compliance audit: Verify documentation, escalation criteria, audit trails

  • Clinician feedback: Assess recommendations from care team perspective

Red flags:

  • High accuracy on benchmarks but declining payer approval rates in production

  • Staff consistently editing same sections (systematic problem)

  • Edge cases routed to wrong expertise level

02.

Clinical Documentation

Primary metrics:

  • Clinician satisfaction: >90%

  • Hallucination rate: <5%

  • Incomplete documentation: <2%

  • Edit time: Minimal (should save time, not add burden)

Evaluation approach:

  • Clinician review: Physicians rate quality and identify errors

  • Hallucination testing: Systematically test for fabricated findings

  • Completeness checks: Ensure all required documentation elements present

  • Bias evaluation: Verify completeness across demographics and conditions

Red flags:

  • Physicians spending more time editing than writing from scratch

  • Repeated hallucinations of clinical facts not in source data

  • Documentation quality varies by patient insurance type or demographics

02.

Clinical Documentation

Primary metrics:

  • Clinician satisfaction: >90%

  • Hallucination rate: <5%

  • Incomplete documentation: <2%

  • Edit time: Minimal (should save time, not add burden)

Evaluation approach:

  • Clinician review: Physicians rate quality and identify errors

  • Hallucination testing: Systematically test for fabricated findings

  • Completeness checks: Ensure all required documentation elements present

  • Bias evaluation: Verify completeness across demographics and conditions

Red flags:

  • Physicians spending more time editing than writing from scratch

  • Repeated hallucinations of clinical facts not in source data

  • Documentation quality varies by patient insurance type or demographics

02.

Clinical Documentation

Primary metrics:

  • Clinician satisfaction: >90%

  • Hallucination rate: <5%

  • Incomplete documentation: <2%

  • Edit time: Minimal (should save time, not add burden)

Evaluation approach:

  • Clinician review: Physicians rate quality and identify errors

  • Hallucination testing: Systematically test for fabricated findings

  • Completeness checks: Ensure all required documentation elements present

  • Bias evaluation: Verify completeness across demographics and conditions

Red flags:

  • Physicians spending more time editing than writing from scratch

  • Repeated hallucinations of clinical facts not in source data

  • Documentation quality varies by patient insurance type or demographics

03.

Patient Communication and Education

Primary metrics:

  • Completion rate: >80%

  • Patient satisfaction: >4/5

  • Visit quality improvement: Measurable impact

  • Health literacy adaptation: Explanations match patient education level

Evaluation approach:

  • Patient feedback: Clarity, relevance, helpfulness

  • Engagement tracking: Completion rates for pre-visit tasks

  • Clinical impact: Whether patient preparation improves visit efficiency

  • Language accessibility: Multilingual capability and cultural appropriateness

Red flags:

  • High completion but low comprehension (completing without understanding)

  • Explanations too technical for patient population

  • Cultural inappropriateness or translation errors

03.

Patient Communication and Education

Primary metrics:

  • Completion rate: >80%

  • Patient satisfaction: >4/5

  • Visit quality improvement: Measurable impact

  • Health literacy adaptation: Explanations match patient education level

Evaluation approach:

  • Patient feedback: Clarity, relevance, helpfulness

  • Engagement tracking: Completion rates for pre-visit tasks

  • Clinical impact: Whether patient preparation improves visit efficiency

  • Language accessibility: Multilingual capability and cultural appropriateness

Red flags:

  • High completion but low comprehension (completing without understanding)

  • Explanations too technical for patient population

  • Cultural inappropriateness or translation errors

03.

Patient Communication and Education

Primary metrics:

  • Completion rate: >80%

  • Patient satisfaction: >4/5

  • Visit quality improvement: Measurable impact

  • Health literacy adaptation: Explanations match patient education level

Evaluation approach:

  • Patient feedback: Clarity, relevance, helpfulness

  • Engagement tracking: Completion rates for pre-visit tasks

  • Clinical impact: Whether patient preparation improves visit efficiency

  • Language accessibility: Multilingual capability and cultural appropriateness

Red flags:

  • High completion but low comprehension (completing without understanding)

  • Explanations too technical for patient population

  • Cultural inappropriateness or translation errors

04.

Clinical Decision Support

Primary metrics:

  • Concordance with specialists: >85%

  • Sensitivity for dangerous conditions: >95%

  • False positive rate: Low (avoid alarm fatigue)

  • Recommendation interpretability: Clinicians can understand reasoning

Evaluation approach:

  • Prospective validation: Test on cases clinicians haven't seen (avoid bias)

  • Rare condition testing: Ensure reasonable behavior on atypical presentations

  • Outcome tracking: Link recommendations to patient outcomes over time

  • Explainability assessment: Verify clinicians can understand reasoning

Red flags:

  • High average accuracy but poor performance on rare conditions

  • Recommendations that clinicians can't explain to patients

  • Systematic underperformance on specific demographics

04.

Clinical Decision Support

Primary metrics:

  • Concordance with specialists: >85%

  • Sensitivity for dangerous conditions: >95%

  • False positive rate: Low (avoid alarm fatigue)

  • Recommendation interpretability: Clinicians can understand reasoning

Evaluation approach:

  • Prospective validation: Test on cases clinicians haven't seen (avoid bias)

  • Rare condition testing: Ensure reasonable behavior on atypical presentations

  • Outcome tracking: Link recommendations to patient outcomes over time

  • Explainability assessment: Verify clinicians can understand reasoning

Red flags:

  • High average accuracy but poor performance on rare conditions

  • Recommendations that clinicians can't explain to patients

  • Systematic underperformance on specific demographics

04.

Clinical Decision Support

Primary metrics:

  • Concordance with specialists: >85%

  • Sensitivity for dangerous conditions: >95%

  • False positive rate: Low (avoid alarm fatigue)

  • Recommendation interpretability: Clinicians can understand reasoning

Evaluation approach:

  • Prospective validation: Test on cases clinicians haven't seen (avoid bias)

  • Rare condition testing: Ensure reasonable behavior on atypical presentations

  • Outcome tracking: Link recommendations to patient outcomes over time

  • Explainability assessment: Verify clinicians can understand reasoning

Red flags:

  • High average accuracy but poor performance on rare conditions

  • Recommendations that clinicians can't explain to patients

  • Systematic underperformance on specific demographics

Common Evaluation Mistakes

Common Evaluation Mistakes

Mistake 1: Only Testing at Launch

You test rigorously during development. Deploy. Stop evaluating.

Result: Model degrades silently. Nobody notices until physicians complain.

Fix: Continuous evaluation. Automated checks on 100%. Expert review on samples. Weekly reports.

Mistake 2: Using Wrong Baseline

You measure "AI achieves 85% accuracy!" But you don't know if humans achieve 90% or 70%.

Result: You can't tell if AI is helping or hurting.

Fix: Measure baseline human performance first. Then compare AI to baseline. Improvement matters, not absolute numbers.

Mistake 3: Ignoring Edge Cases

Staff expected to review all cases, even those requiring clinical expertise beyond their scope.

Result: Staff approves inappropriate documentation because they don't know better, or everything goes to physician, defeating purpose of AI.

Fix: Stratify performance by case complexity, patient demographics, clinical scenarios. Ensure performance is acceptable across ALL groups.

Mistake 4: No Action Thresholds

You collect metrics. You have dashboards. You don't define "what triggers investigation?"

Result: Metrics drift. Nobody responds. Evaluation becomes theater.

Fix: Set thresholds. Accuracy <95%? Investigate. Approval rate <90%? Review outputs. Safety violation? Immediate escalation. Make metrics actionable.

Mistake 5: Evaluating AI in Isolation

You test AI accuracy on synthetic data in controlled environment.

Result: AI performs well in lab. Fails in production when integrated with real EHRs, real payer portals, real workflows.

Fix: Evaluate in production environment. Real data. Real integrations. Real time constraints. Real human reviewers.

Why Scalefresh's Evaluation Approach

Why Scalefresh's Evaluation Approach

We implement evaluation frameworks that meet hospital procurement standards and regulatory expectations because we've seen what happens without them: performance degradation, biased outcomes, and clinical staff who stop trusting AI.

We design and implement:

  • Three-layer evaluation: automated checks + clinical expert review + operational metrics

  • Evaluation against industry frameworks (MedHELM tasks, HealthBench rubrics)

  • Use-case-specific metrics (prior auth accuracy, clinical documentation quality)

  • Continuous monitoring infrastructure embedded in deployment

  • Bias audits across demographics and clinical scenarios

  • Compliance documentation for regulatory review

For Med Tech and Software Companies:

Hospitals won't buy AI without evaluation data meeting clinical standards. We help you build evaluation into your product from day one.

For Hospitals:

Read more

Read more

We design and implement:

  • Three-layer evaluation: automated checks + clinical expert review + operational metrics

  • Evaluation against industry frameworks (MedHELM tasks, HealthBench rubrics)

  • Use-case-specific metrics (prior auth accuracy, clinical documentation quality)

  • Continuous monitoring infrastructure embedded in deployment

  • Bias audits across demographics and clinical scenarios

  • Compliance documentation for regulatory review

For Med Tech and Software Companies:

Hospitals won't buy AI without evaluation data meeting clinical standards. We help you build evaluation into your product from day one.

For Hospitals:

Read more

Read more

For Med Tech and Software Companies:

Hospitals won't buy AI without evaluation data meeting clinical standards. We help you build evaluation into your product from day one.


We design and implement:


  • Design automated evaluation pipelines (accuracy, completeness, compliance checks)

  • Create clinical expert review workflows (physician sampling, scoring rubrics)

  • Implement guardrails at input, output, and execution layers

  • Build monitoring dashboards showing real-time quality metrics

  • Establish threshold-based alerting for degradation detection

For Hospitals:

Vendor evaluation claims need verification before deployment. We help you test rigorously.


We help you:


  • Review vendor evaluation claims with clinical and technical teams

  • Test vendor AI on your data in controlled pilots

  • Establish internal evaluation protocols (who reviews, how often, what thresholds)

  • Verify guardrails actually work (attempt scope violations, unauthorized access)

  • Create ongoing monitoring framework for production deployment

Why Scalefresh's Evaluation Approach

We implement evaluation frameworks that meet hospital procurement standards and regulatory expectations because we've seen what happens without them: performance degradation, biased outcomes, and clinical staff who stop trusting AI.

We design and implement:

  • Three-layer evaluation: automated checks + clinical expert review + operational metrics

  • Evaluation against industry frameworks (MedHELM tasks, HealthBench rubrics)

  • Use-case-specific metrics (prior auth accuracy, clinical documentation quality)

  • Continuous monitoring infrastructure embedded in deployment

  • Bias audits across demographics and clinical scenarios

  • Compliance documentation for regulatory review

For Med Tech and Software Companies:

Hospitals won't buy AI without evaluation data meeting clinical standards. We help you build evaluation into your product from day one.

For Hospitals:

Read more

Read more

For Med Tech and Software Companies:

Hospitals won't buy AI without evaluation data meeting clinical standards. We help you build evaluation into your product from day one.


We design and implement:


  • Design automated evaluation pipelines (accuracy, completeness, compliance checks)

  • Create clinical expert review workflows (physician sampling, scoring rubrics)

  • Implement guardrails at input, output, and execution layers

  • Build monitoring dashboards showing real-time quality metrics

  • Establish threshold-based alerting for degradation detection

For Hospitals:

Vendor evaluation claims need verification before deployment. We help you test rigorously.


We help you:


  • Review vendor evaluation claims with clinical and technical teams

  • Test vendor AI on your data in controlled pilots

  • Establish internal evaluation protocols (who reviews, how often, what thresholds)

  • Verify guardrails actually work (attempt scope violations, unauthorized access)

  • Create ongoing monitoring framework for production deployment