Georgia House Bill HB887

Georgia 2023-2024 Regular Session

• Introduced: 1/9/24

Caption

Insurance; use of artificial intelligence in making certain decisions regarding coverage; prohibit

Impact

If enacted, HB 887 would significantly modify the existing landscape of insurance practices within the state. It emphasizes consumer protection by ensuring that coverage decisions are made transparently and with direct human oversight. This legislative move comes in response to increasing concerns regarding biases that may arise from AI systems, particularly in marginalized groups or when assessing high-risk individuals. Consequently, it aims to foster accountability within the insurance industry while potentially reshaping how companies approach technology in their decision-making processes.

Summary

House Bill 887 seeks to address the utilization of artificial intelligence in the insurance sector, specifically in the context of making decisions about coverage. The bill proposes a prohibition on using AI to determine eligibility for insurance coverage, citing potential risks associated with automated decision-making processes. Stakeholders highlight the importance of ensuring that decisions impacting consumers' insurance statuses are made by qualified human professionals rather than algorithms, which may lack the necessary contextual understanding and ethical considerations.

Contention

The proposal has sparked discussions regarding the balance between innovation and regulation. Proponents argue that prohibiting AI in insurance decisions will protect consumers from unfair treatment based on potentially flawed algorithms. Conversely, opponents express concern that such restrictions could hinder advancements in efficiency and cost-effectiveness that AI might bring to the industry. Critics argue that outright prohibitions may stifle technological growth and the potential benefits AI could offer, suggesting instead that regulatory frameworks should focus on setting ethical standards for AI use rather than a blanket ban.