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An Act relating to health insurance; to impose limitations on the use of artificial intelligence by insurers in making determinations of coverage (Act 2026-589)

Alabama | SB 63

Year Enacted
2026
Date Signed
Apr 17, 2026
Effective Date
Oct 1, 2026
Status
Enacted
Enacted

Categories

Payer Utilization Review Provider Disclosure & Consent

Key Requirements

An insurer may not use AI as the sole basis to deny, reduce or defer health care services; any adverse determination based in whole or part on medical necessity must be made by a licensed physician or other competent health care professional. Insurers must disclose their use of AI in utilization review to enrollees. AI use in utilization review is subject to review by the Department of Insurance.

Regulated Parties

Health insurers and their contracted utilization review entities

Enforcement

Alabama Department of Insurance may investigate, require corrective action plans, and take disciplinary action; no private right of action stated

Sources

Notes

Reported as Act 2026-589. Signing date confirmed via Transparency Coalition legislative update and JD Supra; the engrossed bill PDF does not carry the signature date.

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