Technology (Artificial Intelligence)

Creates the Artificial Intelligence Systems Use in Health Insurance Act. Provides that the Department of Insurance's regulatory oversight of insurers includes oversight of an insurer's use of AI systems to make or support adverse determinations that affect consumers. Provides that any insurer authorized to operate in the State is subject to review by the Department in an investigation or market conduct action regarding the development, implementation, and use of AI systems or predictive models and the outcomes from the use of those AI systems or predictive models. Provides that an insurer authorized to do business in Illinois shall not issue an adverse consumer outcome with regard to the denial, reduction, or termination of insurance plans or benefits that result solely from the use or application of any AI system or predictive model. Provides that any decision-making process for the denial, reduction, or termination of insurance plans or benefits that results from the use of AI systems or predictive models shall be meaningfully reviewed, in accordance with review procedures determined by Department rules, by an individual with authority to override the AI systems and determinations. Authorizes the Department to adopt emergency rules to implement the Act and to adopt rules concerning standards for full and fair disclosure of an insurer's use of AI systems. Makes a conforming change in the Illinois Administrative Procedure Act.

Amends the Evaluation of Certified Employees Article of the School Code. Provides that a teacher evaluation plan shall prohibit an evaluator from using artificial intelligence tools to perform teacher evaluation tasks.

Creates the Illinois High-Impact AI Governance Principles and Disclosure Act. Makes findings. Defines terms. Requires the Department of Innovation and Technology to adopt rules regulating businesses that use AI systems to ensure compliance with the 5 principles of AI governance. Lists the 5 principles of AI governance. Requires the Department to adopt rules to ensure that a business that uses an AI system publishes a report on the business's website, with certain requirements. Provides for a civil penalty for violations. Limits applicability to businesses with 10 or more employees. Effective January 1, 2026.

Amends the School Code. Requires the State Board of Education to establish the State Instructional Technology Advisory Board, which shall collaborate with the State Board of Education to provide guidance, integration, oversight, and evaluation of education technologies, including, but not limited to, artificial intelligence technologies. Sets forth the membership of the Advisory Board and terms. Requires the State Board, with the Advisory Board, to develop standards concerning safety, transparency, data privacy, and educational quality for any artificial intelligence technology that may be used in schools and develop guidance for school districts and educators on the use of artificial intelligence in education. Requires the annual school district report to the State Board regarding educational technology capacity and policies to include student, teacher, and district use of artificial intelligence. Effective immediately.

Amends the Sports Wagering Act. Prohibits a sports wagering licensee from using artificial intelligence to: (1) track the sports wagers of an individual; (2) create an offer or promotion targeting a specific individual; or (3) create a gambling product.

Amends the Department of Innovation and Technology Act. Provides that the Generative AI and Natural Language Processing Task Force may hold public meetings in a hybrid format, with both virtual and in-person options to attend, as frequently as necessary to carry out its duties and shall convene and meet at the call of the co-chairpersons. Provides that the Task Force shall file periodic reports with the Governor and the General Assembly covering the Task Force's investigation into generative artificial intelligence software and natural language processing software and the Task Force's responsibilities.

Creates the Meaningful Human Review of Artificial Intelligence Act. Sets forth provisions prohibiting a State agency, or any entity acting on behalf of an agency, from utilizing or applying any automated decision-making system, directly or indirectly, without continuous meaningful human review when performing any of the agency's specified functions. Requires impact assessments to be performed by State agencies seeking to utilize or apply an automated decision-making system with continuous meaningful human review. Provides that the impact assessment shall include a description of the objectives of the automated decision-making system; an evaluation of the ability of the automated decision-making system to achieve its stated objectives; a specified description and evaluation of the objectives and development of the automated decision-making; testing of the automated decision-making system; and the notification mechanism or procedure, if any, by which individuals impacted by the utilization of the automated decision-making system may be notified of the use of such automated decision-making system and of the individual's personal data, and informed of their rights and options relating to such use. Requires submission of impact assessments to the Governor and General Assembly.

Amends the Criminal Code of 2012. Provides that certain forms of false personation may be accomplished by artificial intelligence. Defines "artificial intelligence".

Creates the Artificial Intelligence Safety and Security Protocol Act. Provides that a developer shall produce, implement, follow, and conspicuously publish a safety and security protocol that includes specified information. Provides that, no less than every 90 days, a developer shall produce and conspicuously publish a risk assessment report that includes specified information. Provides that, at least once every calendar year, a developer shall retain a reputable third-party auditor to produce a report assessing whether the developer has complied with its safety and security protocol. Sets forth provisions on the redaction of sensitive information and whistleblower protections. Provides for civil penalties for violations on the Act.

Amends the School Code. Requires the State Board of Education to establish the State Instructional Technology Advisory Board, which shall collaborate with the State Board of Education to provide guidance, integration, oversight, and evaluation of education technologies, including, but not limited to, artificial intelligence technologies. Sets forth the membership of the Advisory Board and terms. Requires the State Board, with the Advisory Board, to develop standards concerning safety, transparency, data privacy, and educational quality for any artificial intelligence technology that may be used in schools and develop guidance for school districts and educators on the use of artificial intelligence in education and the development of artificial intelligence literacy. Requires the annual school district report to the State Board regarding educational technology capacity and policies to include how students, teachers, and district employees use artificial intelligence. Provides that the Internet safety education curriculum shall include instruction in the safe and responsible use of artificial intelligence. Makes other changes. Effective immediately.