Arizona has taken a significant step to protect patients from automated health insurance claim denials. A new law signed by Governor Katie Hobbs will require licensed physicians to review and decide on insurance claims, rather than relying on computer systems. This change aims to ensure that medical decisions are made by qualified professionals who can consider the unique needs of each patient.
House Bill 2175, sponsored by Republican Rep. Julie Willoughby, mandates that doctors conduct an individual review before any claim is denied. This includes cases where prior authorizations for medical services are rejected. The law reflects concerns that some insurance companies have been using algorithms to deny claims without proper human oversight.
Willoughby emphasized the importance of having a doctor involved in these decisions. She stated, "If care is denied, it should be by someone with the training and ethical duty to put patients first." The law is set to take effect in July 2026, giving insurers time to adjust to the new requirements.
The bill received broad bipartisan support, passing with nearly unanimous votes in both chambers of the Arizona legislature. This reflects a growing recognition of the need for accountability in healthcare decisions, especially as many families face life-altering medical choices.
Critics have pointed out that some major health insurance companies, such as Cigna and United Healthcare, have faced scrutiny for their practices of denying claims using automated systems. The new law aims to restore trust in the healthcare system by ensuring that a qualified human being is involved in critical medical decisions.
This move aligns with similar legislation passed in California, known as the "Physicians Make Decisions Act," which also seeks to limit the role of artificial intelligence in healthcare. As the healthcare landscape continues to evolve, Arizona’s law stands as a significant measure to prioritize patient care over profit.