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AI Summary
SB1261 amends Tennessee Code to regulate health insurers' use of AI in utilization reviews, ensuring compliance with state and federal laws.
Business Impact
If you use AI for utilization reviews, ensure compliance with guidelines or face legal action.
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
SB1261 amends Tennessee Code to regulate health insurers' use of AI in utilization reviews. It requires adherence to guidelines ensuring compliance with laws.
Key Provisions
- Health insurance issuers must ensure AI tools base determinations on specific clinical information (Section not specified).
- AI tools cannot replace healthcare provider decision-making (Section not specified).
- Issuers must disclose AI tool usage in policies and review their performance (Section not specified).
Latest Legislative Action
Passed on Second Consideration, refer to Senate Commerce and Labor Committee
Bill Sponsors (showing 5 of 8)
| Name | Role |
|---|---|
| Akbari | Primary |
| Baum | Primary |
| Gresham | Primary |
| Moody | Primary |
| Norris | Primary |
Compliance Checklist
Ensure compliance with new AI usage requirements
Who: Health insurance issuers
Deadline: Upon enactment
Penalty: To be determined based on non-compliance
Who: Health insurance issuers
Deadline: Upon enactment
Penalty: To be determined based on non-compliance
Related & Companion Bills
Full Legal Analysis
SB1261, introduced in the Tennessee General Assembly, amends Titles 8, 56, and 71 of the Tennessee Code Annotated. It imposes requirements on health insurance issuers using artificial intelligence, algorithms, or other software tools for utilization review or management functions. The bill mandates that these tools base their determinations on an enrollee's medical history, individual clinical circumstances, and other relevant clinical information, rather than solely on group datasets. It prohibits these tools from replacing healthcare provider decision-making and requires compliance with state and federal laws. Health insurance issuers must disclose the use of such tools in their policies and periodically review their performance. The bill does not apply if compliance would result in the loss of federal funding.
Official Source
Official Bill Text
View SB1261 on official legislature website →
Related Topics
Affected Industries
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