States are taking a stance on how AI models and systems can be deployed in insurer reviews, mental health treatment and chatbots that interact with patients. While the Trump administration wants a single national framework on AI policy, more than 250 AI bills in health care were introduced in 47 states, according to tracking conducted by Manatt, Phelps & Phillips in October.
Of those bills, 33 became law in 21 states and many other states “have enacted laws focused on the use of AI-enabled chatbots, including Illinois’ new law banning apps or services from providing mental health and therapeutic decision-making,” Axios reported.
“There is a lot of bipartisan alignment on the topic,” Randi Seigel, a partner at Manatt. “Red states are mirroring provisions of laws introduced in blue states and vice versa.”
These state efforts could face backlash from Trump’s push to establish a federal framework for AI after he signed “an executive order last week that requires the attorney general to establish a task force to challenge burdensome state AI regulations,” Axios reported. Because of this, Congress is now required to provide a legislative recommendation for a federal AI framework.
While the question of who has jurisdiction remains front and center, the AI industry said that “a patchwork of laws” could hinder innovation and create different criteria for reporting requirement.
“There are state-by-state restrictions that can be limiting,” Rajaie Batniji, CEO of Medicaid health tech company Waymark Care, said.
And some differentiate between “machine learning” and “artificial intelligence,” but states continue to police how the technology is used in health care.



















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