Relating to disclosure of the use of artificial intelligence in the denial of insurance claims.

HB 4635 requires insurance companies and health maintenance organizations to disclose when artificial intelligence (AI) is used to deny a claim. Insurers must provide claimants with a written notice containing three specific items: (1) confirmation that AI made the denial, (2) the basis for the AI decision, and (3) instructions for appealing the denial. This law applies only to claims submitted on or after September 1, 2025, and does not apply to claims denied without AI involvement.