Bill > SB987

This bill establishes new regulations for artificial intelligence (AI) in health software and health insurance decision-making in Maryland. The Maryland Health Care Commission will be required to create and maintain a registry of AI health software distributed or operated in the state, and software developers must register their AI health software with the Commission before distribution. The bill defines AI as a machine-based system capable of making predictions, recommendations, or decisions using machine and human inputs, and abstracts those perceptions into models. Health insurance carriers (including insurers, nonprofit health service plans, health maintenance organizations, and other health benefit plan providers) will be prohibited from using AI to make or directly influence healthcare decisions or decisions related to healthcare. Violations of the software registration requirement could result in fines up to $10,000 per day, with the fine amount based on potential harm, investigation costs, and previous violations. The bill is set to take effect on October 1, 2025, providing time for businesses and organizations to prepare for compliance with the new regulations.

Budget and Finance

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0987?ys=2025RS