AI in US healthcare billing added $942M in insurer costs, BCBSA says
The Blue Cross Blue Shield Association estimates AI-assisted medical coding by hospitals added $942 million in costs to its health plans between 2023 and 2025. About $653 million came from secondary diagnoses that did not change patient care. The American Hospital Association disputes the analysis, pointing to insurers' automated claim denials.
- BCBSA: AI coding by hospitals added $942M in costs in 2023–2025
- $653M (70%) tied to diagnoses with no change in care
- 60% of hospital systems had adopted AI coding tools
- US employer health coverage costs expected to rise 8.2% in 2027
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