HB0035 - 104th General Assembly

AI USE IN HEALTH INSURANCE ACT
Last Action

6/02/2025 - Senate: Rule 3-9(a) / Re-referred to Assignments
Statutes Amended In Order of Appearance

New Act
5 ILCS 100/5-45.65 new
Synopsis As Introduced

Creates the Artificial Intelligence Systems Use in Health Insurance Act. Provides that the Department of Insurance's regulatory oversight of insurers includes oversight of an insurer's use of AI systems to make or support adverse determinations that affect consumers. Provides that any insurer authorized to operate in the State is subject to review by the Department in an investigation or market conduct action regarding the development, implementation, and use of AI systems or predictive models and the outcomes from the use of those AI systems or predictive models. Provides that an insurer authorized to do business in Illinois shall not issue an adverse consumer outcome with regard to the denial, reduction, or termination of insurance plans or benefits that result solely from the use or application of any AI system or predictive model. Provides that any decision-making process for the denial, reduction, or termination of insurance plans or benefits that results from the use of AI systems or predictive models shall be meaningfully reviewed, in accordance with review procedures determined by Department rules, by an individual with authority to override the AI systems and determinations. Authorizes the Department to adopt emergency rules to implement the Act and to adopt rules concerning standards for full and fair disclosure of an insurer's use of AI systems. Makes a conforming change in the Illinois Administrative Procedure Act.

House Floor Amendment No. 1

Deletes reference to:
5 ILCS 100/5-45.65 new
Adds reference to:
215 ILCS 165/15.35 new
Replaces everything after the enacting clause with the provisions of the introduced bill with the following changes. Makes changes to defined terms. Replaces "insurer" with "health insurance issuer" throughout the Act. Provides that the Department of Insurance's regulatory oversight of health insurance coverage includes oversight of the use of AI systems or predictive models to make or support adverse consumer outcomes. Provides that the Department's authority in an investigation or market conduct action includes review regarding the development, implementation, and use of AI systems or predictive models and the outcomes from the use of those AI systems or predictive models. Provides that, when an adverse consumer outcome is an adverse determination regulated under the Managed Care Reform and Patient Rights Act, the individual with authority to override the AI systems and the determinations of the AI systems shall be a clinical peer as required and defined under that Act. Sets forth provisions concerning a health insurance issuer's required compliance under the Act. Removes provisions concerning emergency rulemaking. Amends the Voluntary Health Services Plans Act. Provides that a health service plan corporation is subject to the provisions of the Artificial Intelligence Systems use in Health Insurance Act.
Actions

Date Chamber Action
12/06/2024 House Prefiled with Clerk by Rep. Bob Morgan
1/09/2025 House First Reading
1/09/2025 House Referred to Rules Committee
2/04/2025 House Assigned to Insurance Committee
3/11/2025 House Do Pass / Short Debate Insurance Committee; 011-006-000
3/11/2025 House Added Co-Sponsor Rep. Lilian Jiménez
3/12/2025 House Placed on Calendar 2nd Reading - Short Debate
3/26/2025 House Second Reading - Short Debate
3/26/2025 House Held on Calendar Order of Second Reading - Short Debate
4/04/2025 House House Floor Amendment No. 1 Filed with Clerk by Rep. Bob Morgan
4/04/2025 House House Floor Amendment No. 1 Referred to Rules Committee
4/07/2025 House House Floor Amendment No. 1 Rules Refers to Insurance Committee
4/08/2025 House House Floor Amendment No. 1 Recommends Be Adopted Insurance Committee; 010-004-000
4/09/2025 House Added Co-Sponsor Rep. Janet Yang Rohr
4/09/2025 House House Floor Amendment No. 1 Adopted
4/09/2025 House Placed on Calendar Order of 3rd Reading - Short Debate
4/09/2025 House Third Reading - Short Debate - Passed 079-035-000
4/09/2025 House Added Co-Sponsor Rep. Nicolle Grasse
4/09/2025 House Added Co-Sponsor Rep. Jennifer Gong-Gershowitz
4/09/2025 House Added Co-Sponsor Rep. Curtis J. Tarver, II
4/10/2025 House Added Co-Sponsor Rep. Hoan Huynh
4/10/2025 Senate Arrive in Senate
4/10/2025 Senate Placed on Calendar Order of First Reading
4/10/2025 Senate Chief Senate Sponsor Sen. Laura Fine
4/10/2025 Senate First Reading
4/10/2025 Senate Referred to Assignments
4/23/2025 Senate Assigned to Executive
5/09/2025 Senate Rule 2-10 Committee Deadline Established As May 23, 2025
5/12/2025 Senate Senate Committee Amendment No. 1 Filed with Secretary by Sen. Laura Fine
5/12/2025 Senate Senate Committee Amendment No. 1 Referred to Assignments
5/13/2025 Senate Senate Committee Amendment No. 1 Assignments Refers to Executive
5/23/2025 Senate Rule 2-10 Committee Deadline Established As June 1, 2025
5/27/2025 Senate Added as Alternate Co-Sponsor Sen. Graciela Guzmán
6/02/2025 Senate Rule 3-9(a) / Re-referred to Assignments
6/02/2025 Senate Senate Committee Amendment No. 1 Rule 3-9(a) / Re-referred to Assignments