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SB0202 • 2026

Mandatory Human Reviews of Insurance Claim Denials

Mandatory Human Reviews of Insurance Claim Denials

Technology
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Bradley
Last action
2026-03-13
Official status
Senate - Died in Banking and Insurance
Effective date
2026-07-01

Plain English Breakdown

The candidate explanation includes recommendations that are not explicitly stated in the bill text (e.g., keeping detailed records).

Mandatory Human Reviews of Insurance Claim Denials

This law requires insurance companies to use qualified human professionals for denying claims and prohibits the sole use of algorithms or AI systems in this process.

What This Bill Does

  • Requires insurance companies to have decisions on claim denials made by qualified human professionals.
  • Prohibits the sole use of algorithms, artificial intelligence, or machine learning systems for determining whether to deny a claim.
  • Recommends that insurers maintain detailed records about decisions made by human professionals.
  • Requires insurers to include specific information in denial communications sent to policyholders.
  • Authorizes the Office of Insurance Regulation to conduct market conduct examinations and investigations.

Who It Names or Affects

  • Insurance companies
  • Policyholders who file claims

Terms To Know

Qualified human professional
An individual authorized by the Florida Insurance Code to adjust or deny insurance claims.
Algorithm
A clearly specified mathematical process for computation that uses rules designed to give prescribed results.

Limits and Unknowns

  • The bill does not specify what happens if an insurer fails to follow the new requirements.
  • It is unclear how this law will affect existing insurance policies and claims processes.
  • The Financial Services Commission has the authority to create rules for implementing this section, but these rules have not been made yet.

Bill History

  1. 2026-03-13 Senate

    • Died in Banking and Insurance

  2. 2026-01-13 Senate

    • Introduced

  3. 2025-11-03 Senate

    • Referred to Banking and Insurance; Appropriations Committee on Agriculture, Environment, and General Government; Rules

  4. 2025-10-15 Senate

    • Filed

Official Summary Text

Mandatory Human Reviews of Insurance Claim Denials; Requiring that insurers’ decisions to deny a claim or any portion of a claim be made by qualified human professionals; prohibiting the use of algorithms, artificial intelligence, or machine learning systems as the sole basis for determining whether to adjust or deny a claim; authorizing the Office of Insurance Regulation to conduct market conduct examinations and investigations under certain circumstances, etc.

Current Bill Text

Read the full stored bill text
Florida Senate
-
2026

SB 202

By
Senator Bradley

6-00238-26 2026202__
1 A bill to be entitled
2 An act relating to mandatory human reviews of
3 insurance claim denials; creating s. 627.4263, F.S.;
4 defining terms; requiring that insurers’ decisions to
5 deny a claim or any portion of a claim be made by
6 qualified human professionals; specifying the duties
7 of qualified human professionals; requiring an insurer
8 to maintain certain records; prohibiting the use of
9 algorithms, artificial intelligence, or machine
10 learning systems as the sole basis for determining
11 whether to adjust or deny a claim; requiring insurers
12 to include certain information in denial
13 communications to claimants; requiring that certain
14 insurers detail certain information in their claims
15 handling manual; authorizing the Office of Insurance
16 Regulation to conduct market conduct examinations and
17 investigations under certain circumstances;
18 authorizing the Financial Services Commission to adopt
19 rules; providing an effective date.
20
21 Be It Enacted by the Legislature of the State of Florida:
22
23 Section 1. Section 627.4263, Florida Statutes, is created
24 to read:
25
627.4263

Mandatory human reviews of claim denials.—

26
(1) As used in this section
, the term
:

27
(a) “Algorithm” means a clearly specified mathematical

28
process for computation
which
uses rules designed to give

29
prescribed results.

30
(b) “Artificial intelligence system” means a machine-based

31
system that may have varying levels of autonomy and that can,

32
for a given set of objectives, generate outputs
,
such as

33
predictions, recommendations,
or
content, influencing decisions

34
made in real or virtual environments.

35
(c) “Machine learning system” means an artificial

36
intelligence system that has the ability to learn from provided

37
data without being explicitly programmed.

38
(d) “Qualified human professional” means an individual who,

39
under the Florida Insurance Code,
has

the
authority to adjust or

40
deny a claim or a portion of a claim and
may
exercise such

41
authority
over a particular claim.

42
(2) An insurer’s decision to deny a claim or any portion of

43
a claim must be made by a qualified human professional.

44
(3) A qualified human professional
shall
, before

45
determining whether to adjust or deny a claim
or a portion of a

46
claim, do all of the following
:

47
(a) Analyze the facts of the claim and the terms of the

48
insurance policy independently of any
artificial intelligence

49
system
, machine learning system,
or algorithm.

50
(b) Review the accuracy of any output generated by such a

51
system or algorithm.

52
(c) Conduct any review of a claim adjustment or claim

53
decision that was made by another qualified human professional.

54
(4) An insurer shall maintain detailed records of the

55
actions
of qualified human professionals who are required
to

56
perform the actions
under
sub
section
(3)
, including:

57
(a) The name and title of the qualified human professional

58
who made the decision to deny
a
claim or a portion of
a
claim

59
and of any qualified human professional who reviewed
a
claim

60
adjustment or claim decision.

61
(b) The date and time of the claim decision and of any

62
review of the claim adjustment.

63
(c) Documentation of the basis for the denial of the claim

64
or a portion of the claim, including any information provided by

65
an algorithm,
an
artificial intelligence system, or
a
machine

66
learning system.

67
(5) An algorithm
, an
artificial intelligence system,
or
a

68
machine learning system may not serve as the sole basis for

69
determining whether to
adjust or
deny a claim.

70
(6) In all denial communications to a claimant, an insurer

71
shall:

72
(a) Clearly identify the qualified human professional who

73
made the decision to deny the claim or a portion of the claim
;

74
and

75
(b) Include a statement affirming that an algorithm, an

76
artificial intelligence system, or a machine learning system did

77
not serve as the sole basis for determining whether to deny the

78
claim
or a portion of the claim
.

79
(7) An insurer that uses an algorithm, an artificial

80
intelligence system, or a machine learning system as part of its

81
claims
-
handling process
shall
detail in its claims
-
handling

82
manual the manner in which such systems are
to be
used and the

83
manner in which the insurer complies with this section.

84
(8) The office may conduct market conduct examinations and

85
investigations or use any method it deems necessary to verify

86
compliance with this section.

87
(9)

The commission may adopt rules to implement this

88
section.

89 Section 2. This act shall take effect July 1, 2026.