Blue Cross Blue Shield

AI tools used by hospitals when submitting insurance claims added an estimated $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, reportedly without supporting evidence, suggesting the technology may be inflating claim severity and driving up reimbursement costs.

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.