AB-1018 Automated decision systems
Sep 6, 2026 edition · GC-2026-0059 · Published 2026-09-06 · Version 2 · Proposed
AB 1018 proposed role-specific automated-decision controls with important health-sector boundaries.
What happened
The August 28 amended Senate AB 1018 would regulate systems that profile people to make or facilitate consequential decisions, including health care, insurance and employment. Its AI/automated-system definition excludes routine tools and does not cover every generative AI use. HIPAA covered entities doing business in California and business associates’ services to them have a stated exclusion, with exceptions for employment, patient financial assistance and the pre-decision notice duty. FDA-regulated devices and specified regulated research, laboratory and production uses have separate exclusions.
For covered uses, developers would provide use, tuning and technical documentation, while deployers would give pre-decision notice and adverse-outcome explanations under the stated emergency and other exceptions. Deployers with more than 25 employees would provide specified correction and appeal opportunities with 30 business-day processes. The proposal retains applicable privacy and discrimination protections and does not authorize otherwise unlawful uses. It therefore calls for use- and role-specific analysis, rather than treating every hospital AI tool as subject to the same proposed obligations.
Scope and timing
- Authority status
- Proposed
- Applicability
- Potentially applicable
- Audience
- Health systems, Provider networks, Health-tech
- Jurisdiction
- California
Why it matters
The health-sector exclusions and retained notice carveback materially change which systems and workflows require planning.
Recommended action
Monitor the bill, classify consequential profiling uses and developer/deployer roles, and review potential notice, explanation and appeal controls against any final enacted text.
Sources
- AB-1018 Automated decision systems, bill historyOfficial · California Legislature · 2026-08-30 · Source review 2026-09-10
- AB-1018 Automated decision systems, current bill text (08/28/26 - Amended Senate)Official · California Legislature · 2026-08-28 · Source review 2026-09-10
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