Minn. senators advance bill barring AI-alone denials in prior authorization

Senator MAYE QUADE told the Commerce and Consumer Protection Committee that Senate File 1856 aims to keep human clinicians responsible for adverse utilization-review decisions and to give consumers an enforcement avenue. “This bill will do three important things … prohibit the use of artificial intelligence alone without clinician review by an appropriate health professional for making an adverse determination during the utilization review process,” she said.

The bill, as amended in committee, adds a clinician-review requirement for adverse determinations and includes a provision allowing the Minnesota Attorney General to enforce the law. The author described the measure as a modest but necessary step and said she expects to pursue stronger restrictions in the future, citing physician concern that AI can “hallucinate,” make errors and increase denial rates.

Members debated the scope of a physician attestation and whether a strict ban on AI-only determinations would also restrict beneficial uses of AI to speed prior authorization. Senator RASMUSSEN supported retaining a role for AI as an assistive tool but said that any decision to deny coverage should include human review. Committee amendments narrowed and clarified the language; the committee adopted the amendment package before hearing public testimony.

Jason ADKINS, Executive Director of the Minnesota Catholic Conference, testified in support, arguing that decisions touching patient treatment must remain with human clinicians and that AI tools have limits and biases. “Decisions regarding patient treatment … must always remain with the human person and should never be delegated,” he said.

The committee did not record a final floor vote in the transcript excerpt; according to the proceedings the bill was considered with amendments and moved forward for further action consistent with committee procedure. The bill sets Jan. 1, 2027, as an effective date to allow utilization-review organizations time to comply.