This bill establishes regulations prohibiting the use of automated decision-making systems to change the price of products or services for individuals based on surveillance data. It defines "automated decision-making system" as a technology that employs artificial intelligence or algorithms to make decisions with minimal human involvement, and "surveillance data" as information gathered through observation or monitoring related to an individual's characteristics or behaviors. Violations of this prohibition are classified as unfair practices under existing consumer fraud laws, which can lead to civil penalties, including fines of up to $40,000 per violation.

Additionally, the bill outlines specific exceptions where the use of automated decision-making systems to adjust pricing is permissible, such as when the price change is due to differences in service costs, widely available discounts, or when used by insurers or in credit decisions based on consumer reports. The Attorney General is granted rulemaking authority to enforce these provisions, and the bill amends existing laws to incorporate these new regulations.

Statutes affected:
Introduced: 714.16, 714H.3