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Cigna Sued Over Algorithm Allegedly Used To Deny Coverage To Hundreds Of Thousands Of Patients
July 28, 2023Healthcare and insurance giant, Cigna, is facing a lawsuit alleging that the company utilizes an algorithmic system, PXDX, to automatically reject claims within seconds, sparking concerns about the potential harm technology could cause patients as AI becomes more prevalent in the healthcare industry.
The suit, seeking class action status, was filed in California by two plaintiffs who were denied coverage by Cigna for essential medical procedures. Cigna has defended its software system, while the complaint contends that the algorithm violates California’s competition law and insurance code, raising questions about the future of AI in healthcare and patient privacy