New Law Bans AI-Driven Healthcare Denial by Insurers
The Physicians Make Decisions Act (SB 1120) mandates that licensed healthcare providers, not AI algorithms, make final decisions regarding medical necessity for treatments in California. This law addresses concerns about algorithmic bias and inaccuracies in insurance claim processing, preventing potential harm from AI-driven denials of care. SB 1120 requires physician review of all AI-influenced decisions impacting patient care, ensuring human oversight and equitable standards. Effective January 1, 2025, the act establishes a national precedent for responsible AI implementation in healthcare.
John Q. Hosedrinker