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Committee backs bill requiring disclosure and human oversight when insurers use AI in coverage decisions
Summary
HB 11‑39 would require plans to disclose and document how AI is used in utilization review and ensure licensed clinicians approve denials or delays; committee adopted stakeholder edits and moved the bill forward 8–5.
Representatives Leader and Joseph told the Health and Human Services Committee HB 11‑39 is aimed at accountability where artificial intelligence helps determine whether medical care is approved. They cited concerns about automated denial workflows and the need for meaningful human review before coverage denials or delays are finalized.
Behavioral health providers, advocacy groups and a student economist supported the bill’s transparency and individualized‑review requirements. Witnesses emphasized that algorithmic review can miss trauma history, cultural context and co‑occurring conditions and urged mandated documentation and availability of clinical review. Sponsors offered two consolidated stakeholder amendments to refine definitions and remove overlapping language with other AI bills; amendment L002 narrowed insurance provisions but preserved a prohibition on payment for AI‑delivered psychotherapy under public medical assistance.
The committee voted 8–5 to advance the amended bill to the Committee of the Whole. Sponsors said they will continue stakeholder engagement to streamline implementation for regulated entities and carriers.
