Texas Senate Bill SB1822

Texas 2025 - 89th Regular

• Filed: 3/3/25
• Out of Senate Committee: 3/31/25
• Voted on by Senate: 4/9/25

Caption

Relating to the use of artificial intelligence-based algorithms in utilization review conducted for certain health benefit plans.

Impact

The implementation of SB1822 is expected to impact state laws relating to health insurance and patient care standards. The bill requires health insurance companies to provide detailed documentation regarding their AI algorithms, including the composition of training data and mechanisms to minimize biases. By necessitating compliance statements, the bill aims to safeguard against discriminatory practices based on race, gender, age, or other characteristics, thereby enforcing ethical standards in health-related decision-making.

Summary

Senate Bill 1822 establishes regulations regarding the use of artificial intelligence-based algorithms in the utilization review process for health benefit plans. The bill mandates that health insurance issuers and health maintenance organizations disclose whether they utilize such algorithms in their reviews. This transparency is intended to enhance understanding among policyholders and providers regarding the role of AI in decision-making processes related to healthcare services.

Sentiment

The sentiment surrounding SB1822 appears to lean towards caution and vigilance in the adoption of emerging technologies. Supporters emphasize the importance of accountability in AI use, highlighting the potential for biases in automated reviews that can affect patient care. Conversely, there may be concerns from some stakeholders about the feasibility and implications of increased regulatory scrutiny, particularly how it might affect innovation in healthcare technologies and operational efficiencies for health plans.

Contention

Notable points of contention include the balance between fostering innovation in artificial intelligence and ensuring strict oversight to prevent potential harms associated with biased algorithms. While proponents argue that the bill will lead to more equitable healthcare practices, critics may voice concerns regarding the additional burden on health insurance providers. The nuances of ensuring algorithm accountability without stifling technological advancements form a core part of the ongoing dialogue surrounding the bill.

Texas Constitutional Statutes Affected

Insurance Code

• Chapter 4201. Utilization Review Agents
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