AI's Unintended Consequences in Health Care

A recent study from the Peterson Health Technology Institute suggests that administrative AI may be intensifying, rather than easing, longstanding inefficiencies in the U.S. health care system. Evidence from prior authorization and medical coding processes indicates that AI-driven tools are contributing to increased back-and-forth between insurers and providers, sometimes accelerating “bot wars” and encouraging more intensive billing practices.

 

With administrative costs already accounting for an estimated quarter of U.S. health spending, experts caution that without structural incentives for cost reduction, AI may improve speed but not affordability—and could potentially reinforce existing complexity rather than reduce it. Read more from Axios here.