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Legislation blocking automated decision-making is reshaping how insurers handle collision claims. Here's what shops need to know.
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Field Notes, Regulatory shift
Friday, September 18 · #96
~1 min read
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New Jersey just introduced legislation that would prohibit insurers from using AI to make final claim denials. This isn't just policy noise. It's a signal that regulators are watching how carriers automate the decisions that affect your shop's cash flow.

FIELD

1. AI claim denial bans are coming to a state near you

New Jersey's AB 5494 blocks AI from making final denial decisions on auto, homeowners, and flood claims. The bill focuses on the final call, not the claim process itself. But here's what I'm seeing: once one state passes this, others follow. The pressure is building on carriers to prove humans are still in the loop on denials that hit shops hardest.

Source: Field Notes →

DM me 'audit' on LinkedIn. I'll review your last 3 denied calibrations and write the OEM-cited justification that flips them. Free. No pitch.

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📬 Hit reply. Reply: has a carrier ever denied a calibration line with zero human explanation, just a system-generated rejection?

📤 Know a shop that should read this?

One forward could save them three hours of denial fights this month.

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Published by Absolute ADAS. Mark Fowler, owner. Mobile ADAS calibration in Western Washington. 50,000+ calibrations on the floor.

👀 Tomorrow: watch which carriers pre-empt New Jersey's AB 5494 with policy updates before it hits the floor for a vote.
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