AI in Insurance: Addressing Concerns Over Denied Claims and the Call for Transparency Legislation

Insurance claims and the growing role of artificial intelligence (AI) within this process are currently under debate. In a particular incident, 300,000 health insurance claims were denied with a limited human review. This case has prompted the creation of a bill in Harrisburg, which if passed, will compel insurance companies to disclose the use of AI in their procedures.

The proposed bill will be introduced by Representative Arvind Venkat, D-Allegheny. It was born out of a necessity to address the looming apprehensions about the increasing adaption of AI throughout the insurance industry.

It’s a disrupting situation where claims are being resolved by a complex algorithm. To make sense of this machine resolution mechanism, there may be a need to employ not only medical experts but also computer experts to decipher the applied algorithms.

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