HB 527 – Mandatory Human Reviews of Insurance Claim Denials

On Thursday, March 5, HB 527 by Representative Hillary Cassel (R-Dania Beach) was heard on the House Floor and was reported favorably. AIF opposes this legislation.
 
This bill makes clear that insurers, workers’ comp carriers, and HMOs can’t deny or reduce a claim based solely on AI. A qualified human professional must independently review the claim, apply the policy terms, and confirm any AI-generated recommendations before a final decision is made. It also requires stronger documentation, clear contact information in denial letters, a statement confirming AI wasn’t the only factor, and gives regulators authority to examine compliance and adopt rules.
 
HB 527 will now go to the Senate Rules Committee for consideration.

AIF opposes this legislation because it adds significant new compliance requirements for insurers and employers. By layering additional documentation, disclosure, and manual review mandates on top of existing regulations, the bill reduces the efficiency benefits AI is intended to provide. These added requirements could slow claims processing and ultimately raise costs for Florida businesses.