Source: BankInfoSecurity

BankInfoSecurity reports that a U.S. court has ordered UnitedHealth to provide detailed explanations regarding its use of AI in denying health insurance claims. The case stems from allegations that the company’s AI-driven claim processing system systematically rejected valid medical claims to reduce costs, potentially violating healthcare laws.

The court is focusing on whether UnitedHealth’s AI algorithms operated transparently and fairly, and whether adequate human oversight was maintained during the claim review process. Plaintiffs argue that the system’s opaque decision-making process led to unjust denials, harming patients in need of critical medical care.

Legal experts note that the case could set a significant precedent regarding the legal accountability of AI systems in healthcare. The outcome may lead to stricter regulations on how AI can be used in processing insurance claims and raise broader questions about transparency and fairness in algorithmic decision-making.