According to an analysis by the Blue Cross Blue Shield Association, hospitals’ adoption of artificial intelligence tools for insurance claims has resulted in an additional $942 million in healthcare expenses over two years.
The analysis indicated a significant uptick in the number of patients being classified with complex conditions, but it highlighted a “distinct gap between medical coding and actual treatment,” noting that there was no evidence to suggest any actual improvement in care provided.
The New York Times pointed out that this report is yet another indication that AI is driving healthcare costs higher. While conflicts between hospitals and insurers regarding treatments and payments are common, the NYT suggested that the involvement of AI is exacerbating these issues on both sides.
Dr. Shiv Rao, the founder of the AI company Abridge, noted that while the use of AI has the potential to create a troubling future where “bots are pitted against bots, agents against agents,” it could also lead to reduced conflicts and lower costs.
Luke Chalker, a senior vice president at BCBSA, chose not to describe the situation as a conflict, stating, “It’s not a war. It’s a thoroughly one-sided bloodbath,” with insurers appearing to be at a disadvantage.
