New Hampshire · House Bill · 2026 Regular Session
HB1406
New Hampshire HB 1406 — An Act Prohibiting Health Carriers from Using Artificial Intelligence to Change the Clinical Judgment of a Provider

Status ● Engrossed Effective Jan 1, 2027 Passage Likelihood H

WHAT THIS BILL REGULATES · 2 REQUIREMENT TYPES

How Is This Bill Enforced

Enforcement Authority
The Insurance Commissioner enforces this section as an unfair insurance practice under RSA 417. Enforcement is agency-initiated through audit authority. No private right of action is created by the statute.
Private Right of Action
No private right of action. Enforcement is exclusive to the designated authority.
Penalties
The Commissioner may impose administrative fines or order restitution for any delay or denial of care resulting from a violation. Specific fine amounts are not specified in this bill but are governed by RSA 417 unfair insurance practice provisions.

What This Bill Requires

Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.

Statutory Text
Analysis & Obligations
RSA 420-J:6-f
Use of Artificial Intelligence by Health Carriers to Change Provider Codes Prohibited
Deployer

1 Health carriersHealth carrierThe bill does not independently define "health carrier" but uses the term as established in RSA 420-J (Managed Care Law). Health carriers subject to RSA 420-J include health maintenance organizations, insurers, and other entities providing managed care plans.RSA 420-J:6-f are prohibited from using artificial intelligenceArtificial intelligenceThe bill incorporates the definition of artificial intelligence by reference to RSA 5-D:1. The definition is not reproduced in the bill text.RSA 420-J:6-f (referencing RSA 5-D:1), as defined in RSA 5-D:1, to conduct audits of provider codes or to adjust such codes based on recommendations from artificial intelligenceArtificial intelligenceThe bill incorporates the definition of artificial intelligence by reference to RSA 5-D:1. The definition is not reproduced in the bill text.RSA 420-J:6-f (referencing RSA 5-D:1) that would change, alter, or amend the clinical judgment of a provider.

2 Each carrier shall maintain records identifying the use of artificial intelligenceArtificial intelligenceThe bill incorporates the definition of artificial intelligence by reference to RSA 5-D:1. The definition is not reproduced in the bill text.RSA 420-J:6-f (referencing RSA 5-D:1) tools in claims processing and make such records available to the insurance department upon audit.

A violation of this section shall constitute an unfair insurance practice under RSA 417, and the commissioner may impose administrative fines or order restitution for any delay or denial of care resulting from such violation.

This new section inserted into RSA 420-J (Managed Care Law) creates three distinct obligations for health carriers. First, it categorically prohibits health carriers from using artificial intelligence to conduct audits of provider codes or to adjust codes based on AI recommendations that would change the clinical judgment of a provider. Second, it requires carriers to maintain records identifying AI tool use in claims processing and make those records available upon audit. Third, it designates violations as unfair insurance practices under RSA 417, authorizing administrative fines and restitution.

The prohibition is specifically targeted at AI-driven code auditing and code adjustment — a practice where insurers use AI to review and modify provider-submitted billing codes (CPT, ICD-10, etc.) in ways that effectively override the treating provider's clinical assessment of services rendered. The recordkeeping requirement ensures regulatory visibility into carrier AI use even where no violation has occurred.

Compliance actions 2 items
1
Health carriersHealth carrierThe bill does not independently define "health carrier" but uses the term as established in RSA 420-J (Managed Care Law). Health carriers subject to RSA 420-J include health maintenance organizations, insurers, and other entities providing managed care plans.RSA 420-J:6-f must not use artificial intelligenceArtificial intelligenceThe bill incorporates the definition of artificial intelligence by reference to RSA 5-D:1. The definition is not reproduced in the bill text.RSA 420-J:6-f (referencing RSA 5-D:1) to conduct audits of provider codes or to adjust provider codes based on AI recommendations where such adjustment would change, alter, or amend the clinical judgment of a provider.
HC-01.1
2
Health carriersHealth carrierThe bill does not independently define "health carrier" but uses the term as established in RSA 420-J (Managed Care Law). Health carriers subject to RSA 420-J include health maintenance organizations, insurers, and other entities providing managed care plans.RSA 420-J:6-f must maintain records identifying the use of artificial intelligenceArtificial intelligenceThe bill incorporates the definition of artificial intelligence by reference to RSA 5-D:1. The definition is not reproduced in the bill text.RSA 420-J:6-f (referencing RSA 5-D:1) tools in claims processing and must make such records available to the Insurance Department upon audit.
G-01.3
Section 2
Effective Date

This act shall take effect January 1, 2027.

This section establishes that the act takes effect January 1, 2027.

Passage Likelihood

High
Status Engrossed
Chamber Passed origin
Committee No action
Majority party (No data)
Bipartisan Yes
Prior session None

Legislative History

2025-12-04 Introduced 01/07/2026 and referred to Commerce and Consumer Affairs House Journal 1 P. 19
2025-12-04 Introduced 01/07/2026 and referred to Commerce and Consumer Affairs House Journal 1 P. 19
2026-02-10 Public Hearing: 02/17/2026 01:45 pm GP 159
2026-02-11 Full Committee Work Session: 02/18/2026 10:00 am GP 229
2026-02-11 ==RECESSED== Executive Session: 02/18/2026 01:00 pm GP 229
2026-02-25 Full Committee Work Session: 03/03/2026 10:00 am GP 229
2026-02-25 ==CONTINUED== Executive Session: 03/03/2026 01:00 pm GP 229
2026-03-04 Committee Report: Ought to Pass with Amendment # 2026-0986h 03/03/2026 (Vote 14-0; Consent Calendar) House Calendar 10 P. 7
2026-03-11 Amendment # 2026-0986h: Amendment Adopted Voice Vote 03/11/2026 House Journal 7
2026-03-11 Amendment # 2026-0986h: Amendment Adopted Voice Vote 03/11/2026 House Journal 7
2026-03-11 Ought to Pass with Amendment 2026-0986h: Motion Adopted Voice Vote 03/11/2026 House Journal 7
2026-03-11 Amendment # 2026-0986h: Amendment Adopted Voice Vote 03/11/2026 House Journal 7 P. 11
2026-03-11 Ought to Pass with Amendment 2026-0986h: Motion Adopted Voice Vote 03/11/2026 House Journal 7 P. 11
2026-03-17 Introduced 03/12/2026 and Referred to Commerce; Senate Journal 7
2026-04-02 Hearing: 04/07/2026, Room 100, State House, 10:25 am; Senate Calendar 13
2026-04-29 Committee Report: Inexpedient to Legislate, 05/07/2026, Vote 4-1, Consent Calendar; Senate Calendar 17
2026-05-05 Inexpedient to Legislate, Motion Adopted, Voice Vote === BILL KILLED ===; 05/07/2026; Senate Journal 11

Entry Last Reviewed

2026-07-08
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