Florida regulator urges disclosure and 'human-in-the-loop' oversight for AI in insurer filings
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Summary
The state insurance commissioner told senators the Office of Insurance Regulation encountered a filing that used AI the company could not explain; he urged statutory disclosure, auditing and human oversight of AI in rate and product filings.
Commissioner Michael Yacorsky told the Senate Banking and Insurance Committee that the Office of Insurance Regulation has seen insurer filings that rely on AI or big data models without adequate explanation of how those tools work.
Describing one anonymous filing, Yacorsky said the company reported using an off'the'shelf AI solution and, when regulators asked how it worked, the company's response was, "we don't know." He said that lack of transparency is "a very dangerous mechanism" and urged the legislature to consider disclosure requirements, a human'in'the'loop standard and audit practices so the office can hold licensees accountable for actuarial and pricing methods.
Yacorsky said the office is not calling to ban AI but to create oversight pathways: require disclosure when AI is used, ensure knowledgeable human oversight, and preserve the regulator's ability to collect data and enforce licensing obligations. The transcript contains the commissioner's account of the filing but does not identify the company or provide the filing itself.
