Who Do You Trust to Lead: New York, Colorado or NAIC on Approaches to AI in Insurance

The City Bar Task Force on Digital Technologies dives into the complex landscape of artificial intelligence (AI) in the insurance sector, highlighting the unique regulatory environment in the United States where insurance is state regulated. It discusses the role of key states such as New York and Colorado and the national guidance provided by the National Association of Insurance Commissioners (NAIC) on the use of AI in insurance in a range of areas. The podcast features expert insights from Jerome Walker, Sophia Duffy, Azish Filabi, and Corey Goldstein, who discuss and compare the transformative effects of AI in insurance, focusing on actions by the New York State Department of Financial Services, the Colorado Division of Insurance and NAIC on ethical implications, the challenges of managing third-party algorithm developers, and recommendations for a national framework to ensure AI's ethical use in insurance. They elaborate on the roles of governance, testing, and third-party vendor management in complying with regulatory standards and the importance of audits and certifications for AI systems to prevent unfair discrimination and promote transparency and accountability. Tune in to learn more about: • What existing insurance regulations and guidance apply to artificial intelligence? • What is the role of NAIC on AI in insurance? • What data sources are underwriters using for their AI tools and how are they combatting bias in the data? • A comparison of regulatory approaches in New York, Colorado and elsewhere. • Insights on third-party vendor management. Want to learn more about innovations in digital technologies for the legal world? Join us at the City Bar’s upcoming Artificial Intelligence Institute on June 10. (This program will be available on-demand thereafter.) Visit nycbar.org/events to find all of the most up-to-date information about our upcoming programs and events. Access a transcript of this episode here: https://bit.ly/4b9CWHv Related articles: The NYDFS Plans to Impose Significant Obligations on Insurers Using AI or External Data (https://bit.ly/3wrY10S) AI-Enabled Underwriting Brings New Challenges for Life Insurance: Policy and Regulatory Considerations (https://bit.ly/3WI2OGe) Colorado Governance and Risk Management Framework Requirements for Life Insurers’ Use of External Consumer Data and Information Sources, Algorithms, and Predictive Models (https://bit.ly/3UGwwbO) NAIC Guidance on Artificial Intelligence (https://bit.ly/3K3XNjA)