A bill for an act relating to utilization review organizations, prior authorizations and exemptions, medical billing, and independent review organizations.

SF 562 regulates how health insurers use artificial intelligence in reviewing medical treatments. It requires insurers to ensure AI tools used for prior authorization decisions (like whether a treatment is medically necessary) cannot replace doctors' judgment, must base decisions on patient history and clinical circumstances, and must be non-discriminatory. The bill also sets strict timelines: insurers must respond to urgent requests within 48 hours and non-urgent requests within 10 days, with extensions only for complex cases. Additionally, insurers must publicly post annual statistics on approval/denial rates for all treatments requiring prior authorization. This bill directly affects health insurers, healthcare providers, and patients by increasing transparency and accountability in insurance review processes.