Committee advances bill requiring human review before AI‑assisted insurance denials

Representative Cassell told the committee CS for HB 527 protects Floridians by ensuring human review of claim denials where automated systems are used. The sponsor said the bill does not ban AI but requires a qualified human professional to independently review facts, analyze policy language and document the review before a denial or reduction is final.

The committee adopted an amendment that removed the word "algorithm" after stakeholder discussions to avoid unintentionally sweeping in underwriting systems. Personal Insurance Federation witness Michael Carlson said current law and licensing already provide consumer protections and recommended a regulator‑led study to better understand AI use across lines. Patient advocates and labor groups testified in support, describing real cases where automated decisions harmed claimants.

The committee voted the bill favorably. Sponsor Cassell cited a class‑action example against UnitedHealthcare as part of the bill’s genesis but did not introduce the case record into the committee record.