Governor Wes Moore signed Maryland House Bill 820 into law, strengthening safeguards on the use of artificial intelligence (AI) in health insurance utilization review.

The law requires carriers, pharmacy benefit managers, and private review agents to ensure AI decisions are based on an enrollee’s individual clinical information. It also prohibits the use of AI to deny, delay, or modify care, and requires AI systems to be available for audit by the Commission.

While this bill is not applicable to workers' comp claims, the passage of this bill continues the trend of state-led AI regulations in the absence of federal oversight, creating a fragmented and rapidly evolving landscape. Regulations such as these are an attempt to ensure that medical decisions remain grounded in clinical judgement, and that AI tools do not directly or indirectly cause harm to patients.

Bills such as these serve as an indicator that states are looking to put guardrails around AI use in healthcare.

This bill goes into effect October 1, 2025.