Alleged Discrimination in AI-Powered Insurance Claims Processing: A Case Study of State Farm
June 12, 2021
The use of AI in the insurance industry was called into question when State Farm's automated claims processing method was alleged in a class action lawsuit to have disproportionately impacted Black policyholders. This AI incident maps to the Govern function in HISPI Project Cerebellum Trusted AI Model (TAIM). Ready to help ensure safe and secure AI practices? JOIN US
- Alleged deployer
- state-farm
- Alleged developer
- state-farm
- Alleged harmed parties
- black-state-farm-customers
Source
Data from the AI Incident Database (AIID). Cite this incident: https://incidentdatabase.ai/cite/425
Data source
Incident data is from the AI Incident Database (AIID).
When citing the database as a whole, please use:
McGregor, S. (2021) Preventing Repeated Real World AI Failures by Cataloging Incidents: The AI Incident Database. In Proceedings of the Thirty-Third Annual Conference on Innovative Applications of Artificial Intelligence (IAAI-21). Virtual Conference.
Pre-print on arXiv · Database snapshots & citation guide
We use weekly snapshots of the AIID for stable reference. For the official suggested citation of a specific incident, use the “Cite this incident” link on each incident page.