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A group for state lawmakers wants to keep the federal government from taking away states' ability to regulate use of artificial intelligence in insurance.
The officers of the National Council of Insurance Legislators assert in a new statement that states need the ability to protect constituents quickly.
"Those constituents have been steadfast in asking for safeguards against the current unknowns surrounding AI," the NCOIL officers said in their statement. "It's important that they not be deprived of state-based policy solutions, particularly during a time of such polarization and gridlock in Washington."
NCOIL put out the statement in response to an executive order that President Donald Trump issued last week.
Trump said in the order that his administration wants the federal government to take charge of most types of AI regulation for at least 10 years, to avoid letting states impose a patchwork quilt of cumbersome rules on AI developers and to avoid letting states impose ideological bias on AI developers.
Trump cited state efforts to regulate AI systems' use of models that appear to discriminate against people based on characteristics such as race or sex.
"A new Colorado law banning 'algorithmic discrimination' may even force AI models to produce false results in order to avoid a 'differential treatment or impact' on protected groups," according to the executive order.
The NCOIL officers said the AI executive order may not be the final word on the matter.
"The administration will likely be hearing from the Judicial system on this questionable order," the NCOI officers said.
NCOIL is a Belmar, New Jersey-based group that represents state senators, state representatives, state assembly members and other state-level legislators with an interest in insurance.
What it means: State lawmakers in states like California, Colorado and New York have introduced many bills related to use of AI in health insurance.
That means how the federal government and state governments divvy up AI work could have a big effect on the claim administration systems and health benefits administration systems of the future.
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