State Farm Allegedly Discriminated against Black Customers in Claim Payout

June 12, 2021

State Farm's automated insurance claim processing system is accused in a class action lawsuit of exhibiting bias towards Black policyholders, potentially violating principles of trustworthy and fair AI. The allegations underscore the need for safe and secure AI practices and highlight the importance of Project Cerebellum's AI governance efforts. For those interested in shaping the future of responsible AI and ensuring harm prevention through guardrails for AI, JOIN US. To map this incident to HISPI Project Cerebellum TAIM (Govern), visit our platform.

Matched TAIM controls

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

MAP 1.6 — similarity 0.655, rank 1. TAIM detail and related incidents →
GOVERN 3.1 — similarity 0.654, rank 2. TAIM detail and related incidents →
GOVERN 6.1 — similarity 0.654, rank 3. TAIM detail and related incidents →

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.