Policy Details

SB24-205 – Consumer Protections for Artificial Intelligence

Date Passed

5/17/2024

Effective Date

6/30/2026

Summary

Creates comprehensive duties for developers and deployers of “high‑risk” AI systems making consequential decisions, including those affecting access to healthcare. Requires documented risk‑management programs, impact assessments, dataset/incident tracking, and clear consumer notices; grants the Attorney General enforcement authority. Most provisions take effect Feb 1, 2026, with phased requirements thereafter.

Healthcare Implications

Hospitals, payers, and digital health vendors using AI for diagnosis, triage, utilization review, claims, or care access are squarely within scope. Covered entities must stand up bias‑ and safety‑mitigation processes, retain detailed documentation, and provide explanations/disclosures to patients when AI informs determinations about services. Expect legal exposure for inadequate governance and a strong push to formalize model validation and monitoring in clinical workflows.

Impact Level

Medium

Keywords

Safety & Risk

Stakeholders

Providers & Health Systems; Patients & Public; Regulators & Government