State Insurance Legislators Express Deep Concern Over Trump’s AI Regulation Order

The National Council of Insurance Legislators (NCOIL) has expressed strong opposition to President Donald Trump’s recent executive order, which they believe undermines state regulation of artificial intelligence (AI). In a statement released on December 15, NCOIL officers voiced their deep concern, stating that the executive order “aims to limit the ability of states to regulate artificial intelligence.”

According to the NCOIL officers, it is essential for state legislators to have the authority to create policies that safeguard their constituents. They emphasized that state-based solutions should not be restricted, especially during a time characterized by significant polarization and gridlock in Washington, D.C.

Previously, federal lawmakers overwhelmingly rejected a proposal included in Trump’s extensive tax bill, which sought to impose a 10-year moratorium on state regulation of AI. At that time, NCOIL, along with various insurance industry trade associations, voiced their opposition to the moratorium, arguing that it would disrupt existing regulations across numerous states. They warned that such a ban would “disrupt the overall markets that we oversee” and “wrongly curtail” the ability of state legislators to enact policy.

Related: Insurance Industry Rejects Proposed Moratorium on State Artificial Intelligence Regulation

In their latest statement, NCOIL asserted, “This moment is precisely the kind of opportunity in which the states should continue serving as the laboratories of democracy, as they have so effectively done in the past.” They expressed belief that the executive order is not the final word on the matter and anticipated that the administration would likely face challenges from the judicial system regarding this controversial order.

NCOIL reiterated its commitment to developing public policy surrounding AI and insurance, aiming to provide states with guidance to protect consumers without stifling innovation. Trump’s executive order contends that state regulation poses challenges, citing potential “ideological bias within models” and the risk of infringing on interstate commerce.

According to the order, “My administration must act with Congress to ensure that there is a minimally burdensome national standard—not 50 discordant state ones.” The order establishes a task force to address state AI regulations that are deemed inconsistent with the national policy framework. It states, “It is the policy of the United States to sustain and enhance the United States’ global AI dominance through a minimally burdensome national policy framework for AI.”

Topics
InsurTech
Legislation
Data Driven
Artificial Intelligence

The National Council of Insurance Legislators (NCOIL) has expressed strong opposition to President Donald Trump’s recent executive order, which they believe undermines state regulation of artificial intelligence (AI). In a statement released on December 15, NCOIL officers voiced their deep concern, stating that the executive order “aims to limit the ability of states to regulate artificial intelligence.”

According to the NCOIL officers, it is essential for state legislators to have the authority to create policies that safeguard their constituents. They emphasized that state-based solutions should not be restricted, especially during a time characterized by significant polarization and gridlock in Washington, D.C.

Previously, federal lawmakers overwhelmingly rejected a proposal included in Trump’s extensive tax bill, which sought to impose a 10-year moratorium on state regulation of AI. At that time, NCOIL, along with various insurance industry trade associations, voiced their opposition to the moratorium, arguing that it would disrupt existing regulations across numerous states. They warned that such a ban would “disrupt the overall markets that we oversee” and “wrongly curtail” the ability of state legislators to enact policy.

Related: Insurance Industry Rejects Proposed Moratorium on State Artificial Intelligence Regulation

In their latest statement, NCOIL asserted, “This moment is precisely the kind of opportunity in which the states should continue serving as the laboratories of democracy, as they have so effectively done in the past.” They expressed belief that the executive order is not the final word on the matter and anticipated that the administration would likely face challenges from the judicial system regarding this controversial order.

NCOIL reiterated its commitment to developing public policy surrounding AI and insurance, aiming to provide states with guidance to protect consumers without stifling innovation. Trump’s executive order contends that state regulation poses challenges, citing potential “ideological bias within models” and the risk of infringing on interstate commerce.

According to the order, “My administration must act with Congress to ensure that there is a minimally burdensome national standard—not 50 discordant state ones.” The order establishes a task force to address state AI regulations that are deemed inconsistent with the national policy framework. It states, “It is the policy of the United States to sustain and enhance the United States’ global AI dominance through a minimally burdensome national policy framework for AI.”

Topics
InsurTech
Legislation
Data Driven
Artificial Intelligence