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New State Law Will Restrict Health Insurers’ Use of AI
Medscape November 14, 2024
California is taking aim at algorithms used by insurers to make prior authorization and other coverage decisions with a new law that will put limitations on how artificial intelligence (AI)–generated formulas are employed.
The state also will start requiring providers to inform consumers when patient communications are generated by AI.
The laws reflect a growing trend among state lawmakers to more strictly regulate the use of AI in healthcare and other arenas in the absence of federal action.
The Physicians Make Decisions Act (SB 1120) takes effect on January 1. It was supported by dozens of physician organizations and medical groups, the California Hospital Association, and several patient advocacy groups. Insurance industry groups opposed the bill.
“As physicians, we recognize...
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