Blue Cross Blue Shield

AI tools hospitals use when submitting insurance claims added $942 million to US healthcare costs over two years, according to a Blue Cross Blue Shield analysis. The study found a sharp increase in patients being documented as having complex conditions, with no evidence of corresponding improvements in care, raising concerns that automation is inflating charges and prompting calls for closer oversight of hospital coding practices.

Blue Cross Blue Shield reports that hospitals' use of AI tools drove an additional $942 million in healthcare spending over a two-year period. The insurer attributes part of the recent rise in healthcare costs to hospitals adopting AI in their operations, a finding likely to fuel debate about whether AI in medicine is lowering or raising costs.