NYDFS proposes AI use guidance for insurers
By 
Kyle Brasseur2024-01-17T18:28:00
The New York State Department of Financial Services (NYDFS) issued for public comment guidance for insurers operating in the state regarding their use of artificial intelligence (AI) systems and other predictive technologies.
The proposed circular letter announced by the agency Wednesday outlines the NYDFS’s expectations for how insurers develop and manage technologies like AI to mitigate potential harm to consumers.
“Technological advances that allow for greater efficiency in underwriting and pricing should never come at the expense of consumer protection,” said NYDFS Superintendent Adrienne Harris in a press release. “DFS has a responsibility to ensure that the use of AI in insurance will be conducted in a way that does not replicate or expand existing systemic biases that have historically led to unlawful or unfair discrimination.”
Related articles
-
PremiumNavigating top risks in the insurance industry
Cyber threats, climate-related catastrophes, and disruptive technologies remain top risks reshaping the U.S. insurance industry. The question is how chief risk officers at the nation’s largest insurers are confronting them.
-
News BriefNYDFS to continue crypto enforcement, Superintendent Harris says
The New York Department of Financial Services (NYDFS), led by Superintendent Adrienne Harris, doesn’t intend to let up on cryptocurrency enforcement, even in the face of pullback from the federal government.
-
News BriefCFTC seeking comment on applications of AI in compliance
The Commodity Futures Trading Commission would like to learn more about how regulated entities might be using artificial intelligence in their compliance efforts, along with other applications.
More from Regulatory Policy
-
ArticleNew regulatory regimes for U.K. and EU ESG ratings firms could increase compliance costs
Environmental ratings are becoming big business as companies seek proof of sustainable and socially beneficial conduct. Firms that issue ratings on environmental, social and governance (ESG) performance are set to be regulated in the EU and U.K.
-
ArticleFRC’s plans for more flexible enforcement gains support
Plans to give the U.K.’s audit regulator more options to regulate firms for sloppy work have been largely well received by experts, who believe the current system is “inflexible,” “cumbersome,” and “slow.”
-
News BriefFDIC eases leverage rules for banks, citing lower risk burdens
The U.S. Federal Deposit Insurance Corporation issued a final rule to change the leverage capital requirements for both large and community banks. The agency said the modification will ”reduce disincentives a banking organization may have to engage in lower-risk activities.”