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AI Summary
The AI Use in Health Insurance Act regulates insurers' use of AI systems for adverse consumer outcomes, ensuring meaningful human review.
Business Impact
If you operate a health insurance business in Illinois, you must ensure AI decisions are reviewed by a qualified individual or face regulatory scrutiny.
What do these statuses mean? ▼
Introduced
— Filed in the legislature; not yet heard in committee
In Committee
— Assigned to and being reviewed by a legislative committee
Passed
— Approved by one or both chambers; awaiting further action
Signed / Enacted
— Signed into law by the governor; may or may not be in effect yet
Dead / Vetoed
— Vetoed, failed to pass, or session expired without action
Unknown
— Status data not yet available or awaiting classification
Affected Industries
Topics How we classify →
What This Means
The AI Use in Health Insurance Act establishes regulatory oversight for insurers' use of AI systems in decision-making. It mandates that any adverse outcomes resulting from AI must be reviewed by a qualified individual, ensuring accountability and transparency.
Key Provisions
- Establishes oversight of AI systems used by insurers for adverse consumer outcomes.
- Prohibits adverse outcomes solely based on AI decisions without human review.
- Requires meaningful review of AI decisions by a qualified individual.
- Authorizes the Department of Insurance to adopt rules for disclosure of AI use.
- Makes a conforming change in the Illinois Administrative Procedure Act.
Latest Legislative Action
Senate Committee Amendment No. 1 Rule 3-9(a) / Re-referred to Assignments
Bill Sponsors (showing 5 of 65)
| Name | Role |
|---|---|
| Bob Morgan D | Primary |
| Iris Y. Martinez | Primary |
| Jack D. Franks | Primary |
| Joyce Mason D | Primary |
| La Shawn K. Ford D | Primary |
Roll Call Votes
Third Reading ·
Apr 9, 2025
79 Yea
35 Nay
4 Other
Passed ✓
Insurance, Amendment 1 ·
Apr 8, 2025
10 Yea
4 Nay
3 Other
Passed ✓
Insurance ·
Mar 11, 2025
11 Yea
6 Nay
Passed ✓
Compliance Checklist
Ensure AI decisions are reviewed by a qualified individual with override authority.
Who: Health insurance issuers operating in Illinois.
Penalty: Regulatory scrutiny and potential penalties.
Who: Health insurance issuers operating in Illinois.
Penalty: Regulatory scrutiny and potential penalties.
Adopt disclosure standards for the use of AI systems.
Who: Health insurance issuers.
Penalty: Regulatory actions as determined by the Department.
Who: Health insurance issuers.
Penalty: Regulatory actions as determined by the Department.
Related & Companion Bills
Full Legal Analysis
The AI Use in Health Insurance Act requires insurers in Illinois to comply with specific regulations regarding the use of AI systems for making adverse determinations affecting consumers. Insurers must undergo review by the Department of Insurance concerning the development, implementation, and outcomes of AI systems or predictive models. Importantly, insurers are prohibited from issuing adverse consumer outcomes solely based on AI decisions, ensuring that human oversight is integral to the process. The bill also specifies that the individual responsible for reviewing AI decisions must have the authority to override those decisions, particularly when they relate to adverse determinations under existing health care laws. Compliance is mandatory for all insurers operating in Illinois, with no specific deadline mentioned for implementation. While the Department of Insurance has oversight, the bill makes a conforming change in the Illinois Administrative Procedure Act.
Official Source
Official Bill Text
View HB0035 on official legislature website →
Related Topics
Affected Industries
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