Skip to main content

CO AI Healthcare Act

Use of Artificial Intelligence in Health Care (HB26-1139)

Regulates mental health companion chatbots and AI use in healthcare utilization review. Declares AI providers engage in unauthorized practice of psychotherapy if their chatbot misrepresents credentials, uses reserved professional titles, delivers unsupervised psychotherapy, or fails to disclose it is not human. Separately requires AI-driven insurance utilization review to consider individual clinical circumstances rather than solely group data.

Jurisdiction

Colorado

Enacted

Pending

Effective

TBD

Enforcement

Colorado Attorney General

Passed House 3rd reading unamended March 16, 2026. Pending Senate action.

Colorado General Assembly

Why It Matters

Establishes unauthorized practice of psychotherapy framework for AI chatbots that present themselves as mental health providers, complementing HB26-1195 which restricts licensed therapists from delegating clinical work to AI.

Recent Developments

Passed Colorado House on March 16, 2026. Companion bill to HB26-1195 (AI Psychotherapy Restrictions for licensed professionals).

At a Glance

Applies to

Mental Health AppAI CompanionHealthcare AI

Harms addressed

Who Must Comply

  • AI system providers offering mental health companion chatbots
  • Health care entities using AI for utilization review
  • Insurance carriers using AI for coverage decisions
  • Pharmacy benefit managers
  • Managed care entities

Safety Provisions

  • Mental health companion chatbots must provide clear, conspicuous notice they are not human and not authorized to provide psychotherapy
  • AI systems cannot misrepresent themselves as licensed mental health professionals
  • AI cannot use titles or descriptions reserved for regulated mental health professionals
  • AI-driven psychotherapy delivery requires oversight by a regulated professional
  • AI-recommended insurance denials must be reviewed by a licensed clinician
  • AI utilization review must consider individual clinical circumstances, not solely group data

Exemptions

Administrative AI Use

AI used for scheduling, billing, recordkeeping, and similar administrative tasks is permitted

  • • No therapeutic interaction
  • • No clinical decision-making

Compliance & Enforcement

Penalties

Not yet specified in available bill text; companion bill HB26-1195 references Consumer Protection Act enforcement

View on map

Colorado

Focus Areas

Mental health & crisis
Algorithmic accountability
Active safeguards required

Cite This

APA

Colorado. (n.d.). Use of Artificial Intelligence in Health Care (HB26-1139).

Related Regulations

Proposed US-CO

CO AI Psychotherapy Restrictions

Prohibits licensed mental health professionals from using AI to detect emotions, generate treatment plans without clinician review, or directly interact with clients therapeutically. Allows AI for administrative support with consent.

Pending US-CO

CO HB 1263

Imposes obligations on conversational AI service operators including minor-user protections, suicide and self-harm protocols, prohibition on emotional dependence and engagement gamification, and annual safeguard reporting.

Enacted US-TN

TN AI Mental Health Prohibition

Prohibits any individual or entity that develops or deploys AI from advertising or representing that the AI is or is able to act as a mental health professional or is capable of providing therapy services.

Proposed US-CA

CA SB 867

Proposes a 4-year moratorium on the sale and manufacturing of toys with AI chatbot capabilities for children under 12. During the moratorium, a task force would develop safety standards with input from technologists, parents, and ethicists.

Proposed US-MO

MO AI Mental Health Prohibition

Prohibits any individual or entity that develops or deploys AI from advertising or representing that the AI is or is able to act as a mental health professional or is capable of providing therapy services. Violations treated as unlawful practice under the Missouri Merchandising Practices Act.

Pending US-FL

FL AI Bill of Rights

Establishes an 'AI Bill of Rights' for Floridians including the right to know if communicating with AI, parental controls over minors' AI chatbot access, prohibition on selling user data, disclosure requirements for AI-generated political ads, and protections against unauthorized use of name/image/likeness by AI.

Last updated March 27, 2026. Verify against primary sources before relying on this information.