In one paragraph
Vermont's H.776 (2026) would have added 18 V.S.A. 9423 on AI in health care coverage decisions. A health plan using an AI tool, algorithm or software for utilization review would have had to base determinations on the insured's clinical history and circumstances, not rely solely on a group dataset, apply it consistently, allow Department of Financial Regulation audits, and review it at least quarterly. AI could not deny, delay or modify coverage; adverse determinations would have been made only by a licensed human provider. Referred to committee January 27, 2026; died.
Plain-English summary, written with AI assistance. The official text controls.
What it means for business
None: the bill died and never became law. It would have required Vermont health plans to keep humans in coverage denials and audit any AI used in utilization review.
Key provisions
- Applies to a health plan using an AI tool, algorithm or software for utilization review, directly or through a contractor (18 V.S.A. 9423(a))
- Tool must base determinations on medical or clinical history and the requesting provider's circumstances, not rely solely on a group dataset, and be applied consistently
- Open to audit by the Department of Financial Regulation; performance and outcomes reviewed and revised at least quarterly; must not directly or indirectly cause harm
- AI tools may not deny, delay or modify coverage authorization; an adverse determination shall be made only by a licensed human health care provider (9423(b))
- No enforcement mechanism or penalties stated; would have taken effect July 1, 2026
- Referred to Health Care January 27, 2026; no further action; died at the end of the biennium
Latest legislative action
Jan 27, 2026. Read first time and referred to the Committee on Health Care; died when the Vermont General Assembly's 2025-2026 biennium ended May 29, 2026
Sponsors (showing 5 of 22)
| Name | Role |
|---|---|
| Conor Casey D | Primary |
| Monique Priestley D | Primary |
| Thomas Burditt | Primary |
| Anne Donahue R | Cosponsor |
| Barbara Rachelson D | Cosponsor |
Topics and industries
Related topics
Affected industries
This page is general information, not legal advice. Summaries are AI-assisted and may contain errors; read the statute for the controlling text and talk to a lawyer about your situation. Full disclaimer · Report an error