AI in Health Insurance Claims Denials Sparks Controversy

Health Insurance Claims Denials

Artificial intelligence (AI) has revolutionized many industries, but its use in health insurance claims processing is stirring sharp debate. Health insurance giants like Cigna, Humana, and UnitedHealth Group are facing serious allegations over their use of algorithm-driven systems to deny claims at a staggering rate. With lives at stake and lawsuits piling up, the practice has raised deep ethical and legal concerns. The Allegations Against Industry Leaders The controversy largely centers on accusations that AI algorithms are being used to wrongfully deny claims, often in mere seconds. One lawsuit claims…

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California’s New Law Restricts AI’s Role in Health Insurance Decisions

AI in Health Insurance

California is taking a significant step to address public concerns regarding artificial intelligence (AI) in health care. Senate Bill 1120 (SB 1120), signed into law by Governor Gavin Newsom in 2024, prohibits health insurance providers from using AI as the sole basis for denying claims. The law aims to uphold the critical role of human judgment in health care decision-making. Striking a balance between technological advancements and ensuring patient care, the legislation is set to have both immediate and far-reaching impacts. AI’s Growing Role in Health Insurance and Its Controversies…

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