Cigna Algorithm PXDX Allegedly Rejected Thousands of Patient Claims En Masse in Breach of California Law

July 24, 2023


Cigna's health insurer faces a class-action lawsuit, accused of utilizing the PXDX algorithm to automatically reject over 300,000 patient claims in breach of California law. Two policyholders have filed this lawsuit, seeking damages and a jury trial.

The company counters that this process streamlines physician reimbursement and does not cause care denials, but concerns remain about the algorithm's impact on patients' access to healthcare services. This incident highlights the need for safe and secure AI practices in the health sector, especially when it comes to decisions affecting individuals' well-being.

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Matched TAIM controls

Suggested mapping from embedding similarity (not a formal assessment). Browse all TAIM controls

Alleged deployer
cigna
Alleged developer
cigna
Alleged harmed parties
patients

Source

Data from the AI Incident Database (AIID). Cite this incident: https://incidentdatabase.ai/cite/591

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.