Managed Care Outlook: 2024 AI regulations and their potential impacts on managed care organizations – Artificial intelligence, technology and data privacy

Lexology January 17, 2024
Reed Smith LLP

Following the increased use of generative artificial intelligence (AI), the federal government’s current and proposed regulatory and legislative efforts are likely to more directly impact the health care industry, including managed care organizations (MCOs), which are increasingly using AI to transform and improve various processes that benefit their members and health care providers. This article highlights trends and key developments, as well as their potential impact on MCOs going forward.

Key takeaways

• Federal legislation and rules warn health plans against relying excessively on AI in decisions about care
• State-level actions are also expected to scrutinize MCOs’ usage of AI and automated claims-processing tools
• Increased scrutiny from government sources is likely to spur litigation over MCOs use of AI

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