Cigna uses algorithm to deny medical claims without doctor review
Cigna, one of the largest health insurers, used an algorithm called PXDX to automatically deny medical claims. The system flagged mismatches between diagnoses and procedures, and company doctors signed off on denials in batches without reviewing patient files. One patient, Nick van Terheyden, was denied coverage for a $350 vitamin D test that his doctor had ordered. Former employees said the system saved Cigna billions of dollars but left patients with unexpected bills.
- Company involved
- Cigna
- AI system involved
- PXDX
10 source articles · read the reporting →
Flood of AI-generated error-filled bills increases correction workload for U.S. lawmakers
米議員がAIで作成した「間違いだらけの法案」が殺到し、修正作業の負担が増大 ─ "便利"なはずのAIが抱える「隠れたコスト」 - The Liberty Web
Politico reported that U.S. House members are submitting bills created with generative AI that contain numerous errors. Staff at the Office of the Legislative Counsel say they are spending more time fixing AI-drafted bills than it would take to write them from scratch, as the tools lack the necessary legal nuance and often misrepresent policy intent.
- Company involved
- United States House of Representatives
1 source article · read the reporting →
Resume prompt injection tricks AI hiring - moneywise.com
AI screening system determined which job applicants to advance to the next stage of recruitment.
1 source article · read the reporting →
Driver Assistance System Leads to Rear-End Crash; Freeway Bureau Calls for Inclusion in Driving Tests and Mandatory Dealer Disclosure
輔助駕駛系統釀追撞 高公局：應納入監理考題、賣車時強制告知 - udn
A secondary rear-end collision on National Highway 1 occurred after a driver using adaptive cruise control failed to detect stationary vehicles. The Freeway Bureau says collisions with highway crash cushions have been increasing, with 30-40% of involved vehicles using driver assistance systems. The Bureau recommends including ADAS scenarios in driving tests and requiring car dealers to inform buyers of the system's limitations.
- AI system involved
- ACC (Adaptive Cruise Control) and ADAS
1 source article · read the reporting →
Acclarent's AI-Powered Surgery Tool Allegedly Injures Patients, Lawsuits Claim
Two patients allege that Acclarent's TruDi Navigation System, which uses AI to confirm device positioning during sinus surgery, misled surgeons and caused severe injuries including strokes. The FDA has received over 100 reports of malfunctions and at least ten injuries since AI was added. Lawsuits claim the company rushed the technology to market with only 80% accuracy, making the device less safe than before. Acclarent denies any causal connection, and the cases are ongoing.
- Company involved
- Acclarent
- AI system involved
- TruDi Navigation System
2 source articles · read the reporting →
Argentine Court Annuls Embargoes on Retiree After Identity Mix-Up in Child Support Case
Justicia argentina anula embargos a jubilada por cobro indebido de pensión de alimentos a raíz de error de identidad -…
A retiree had her pension wrongly garnished because her name matched that of the defendant in a child support lawsuit. The appeals court confirmed the immediate halt of the deductions and annulled the embargo, ruling it had no legal basis against a third party. The proceedings against the actual defendant were upheld, as the error was limited to the garnishment order sent with incorrect identification.
- Company involved
- Cámara de Apelaciones en lo Civil, Comercial, de Familia, de Minería y Contencioso Administrativo de Cipolletti
1 source article · read the reporting →
Acclarent's AI-Powered Surgery Tool Allegedly Injures Patients, Lawsuits Claim
The TruDi Navigation System by Acclarent, which uses AI to confirm device positions during sinus surgery, has been linked to at least ten patient injuries including strokes, according to FDA reports and two lawsuits. Plaintiffs Erin Ralph and Donna Fernihough allege that the AI was inaccurate and misled surgeons, causing carotid artery damage and strokes in 2022. Acclarent denies the allegations, stating there is no credible evidence of a causal connection. The lawsuits are ongoing.
- Company involved
- Acclarent
- AI system involved
- TruDi Navigation System
2 source articles · read the reporting →
Uber's Secretive 'Upfront Fares' Algorithm Cuts Driver Pay in Many Cities
Uber introduced an opaque algorithm called 'Upfront Fares' to calculate driver pay in 24 U.S. cities, replacing the previous time-and-distance-based rate. Drivers report lower and unpredictable earnings, with Uber taking a larger cut of fares. The company claims the change gives drivers more control, but critics say the secrecy makes it impossible to verify fair pay. The algorithm may learn the lowest rate drivers will accept, potentially driving down wages.
- Company involved
- Uber
- AI system involved
- Upfront Fares
3 source articles · read the reporting →
AWS Cost Explorer Outage Caused by AI Bot Kiro's Autonomous Action
In December 2025, Amazon Web Services' internal AI coding tool Kiro autonomously deleted and recreated a production environment, causing a 13-hour outage of the AWS Cost Explorer service in mainland China. The AI had been given operator-level permissions without mandatory peer review. AWS attributed the incident to user error and subsequently introduced mandatory peer review and additional safeguards for AI tool usage. The outage affected thousands of businesses, disrupting their ability to track and optimize cloud spending.
- Company involved
- Amazon Web Services
- AI system involved
- Kiro
5 source articles · read the reporting →
Physicians and students push to remove race from kidney function test eGFR
The eGFR kidney test, which estimates kidney function, has historically included race as a factor based on the assumption that Black people have higher muscle mass. This can overestimate kidney function in Black patients, potentially delaying treatment and transplant listing. Medical students and physicians have petitioned hospitals to stop using race, and some institutions have already changed their protocols. The National Kidney Foundation and American Society of Nephrology announced a task force to evaluate the use of race in the test.
- AI system involved
- estimated glomerular filtration rate (eGFR) test
3 source articles · read the reporting →
CFPB Acts Against Hello Digit for Faulty Savings Algorithm Causing Overdrafts
Hello Digit, a fintech company, used an automated savings algorithm that made transfers from consumers' checking accounts, falsely guaranteeing no overdrafts. The algorithm caused customers to incur overdraft fees, and the company often denied reimbursement requests. The CFPB found that Hello Digit engaged in deceptive practices and ordered the company to pay redress to harmed consumers and a $2.7 million fine.
- Company involved
- Hello Digit, LLC
- AI system involved
- Hello Digit app
1 source article · read the reporting →
IRS Audit Selection Algorithm Disproportionately Audits Black Taxpayers
A Stanford study found that the IRS's secret audit selection algorithm causes Black taxpayers to be audited at 2.9 to 4.7 times the rate of non-Black taxpayers. The disparity is driven by the algorithm's focus on the likelihood of underreporting rather than the magnitude, and on refundable tax credits like the Earned Income Tax Credit. Single Black men claiming dependents and the EITC are nearly 20 times more likely to be audited than non-Black married couples claiming the same credit. The researchers suggest the IRS could modify its algorithm to reduce racial disparities without sacrificing revenue.
- Company involved
- Internal Revenue Service
4 source articles · read the reporting →
Amazon hid rising injury rates at robotic warehouses
Internal records obtained by Reveal show Amazon misled the public about worker safety, with serious injury rates at its fulfilment centres rising 33% from 2016 to 2019. Robotic warehouses had significantly higher injury rates than traditional sites, and injuries spiked during Prime Day and Cyber Monday, contrary to Amazon's claims. The company's own safety reports show it failed to meet reduction targets, while workers report that robots increased production quotas to unsustainable levels.
- Company involved
- Amazon
- AI system involved
- Amazon robotic fulfilment system
2 source articles · read the reporting →
Amazon tracked every minute of JFK8 warehouse workers' shifts, documents show
Internal documents show Amazon's Time Off Task tool tracked every minute of JFK8 warehouse workers' shifts using handheld scanners and identified a 'top offender' per shift. Managers questioned those workers about each period of inactivity, including bathroom breaks, and issued warnings or fired them for 30 to 120 minutes of time off task. The article reports that 18 workers were terminated between January and February 2020, and workers said they skipped water and bathroom breaks for fear of discipline. Amazon did not respond to a request for comment.
- Company involved
- Amazon
- AI system involved
- Time Off Task Tool
3 source articles · read the reporting →
CMS warns insurers against using AI to deny Medicare Advantage care
The Centers for Medicare & Medicaid Services (CMS) clarified that health insurers cannot use algorithms or AI to deny care to Medicare Advantage members. This follows lawsuits alleging UnitedHealth and Humana used an AI tool, nH Predict, to wrongfully deny post-acute care to elderly patients. The tool reportedly produced rigid estimates ignoring individual patient needs, leading to premature denials. CMS warned that non-compliance could result in penalties and increased audits.
- Company involved
- UnitedHealth, Humana
- AI system involved
- nH Predict
10 source articles · read the reporting →
Royal Free London publishes audit into Streams app data processing
The Royal Free London NHS Foundation Trust published an audit into its use of the Streams app, following an investigation by the Information Commissioner's Office (ICO) in July 2017. The Streams app alerts clinicians to patients at risk of acute kidney injury. The audit, conducted by Linklaters, concluded that the trust's use of Streams was lawful and complied with data protection laws, although areas for improvement were identified. The ICO later recognised that the trust had completed all required actions.
- Company involved
- Royal Free London NHS Foundation Trust
- AI system involved
- Streams
10 source articles · read the reporting →
Australian government settles Robodebt class action for $1.7 billion
The Robodebt system, an automated debt recovery system used by Centrelink, calculated welfare debts using averaged income data from the ATO, leading to invalid debts. A class action was filed in November 2019 and settled in November 2020. The settlement provided refunds of over $751 million in invalid debts collected and $112 million in compensation to approximately 400,000 group members. The Australian government also dropped claims for over $1 billion in invalid debts.
- Company involved
- Australian Government (Centrelink)
- AI system involved
- Robodebt
10 source articles · read the reporting →
Ferris v. Amazon.com Services (N.D. Mississippi): AI-hallucinated content in court filing, Plaintiff ordered to pay Defendant’s reasonable costs related to…
The AI generated fabricated legal citations that were submitted to the court, affecting the defendant and the judicial process.
1 source article · read the reporting →
Ibrahim Diallo fired by automated HR system, locked out for three weeks
Ibrahim Diallo, a software engineer in California, was automatically terminated by an HR system after a script triggered by a missed contract renewal revoked his access and disabled his key card. Despite his manager and higher-ups confirming he was still employed, the automated process could not be overridden, and he was escorted from the building. It took three weeks for the company to resolve the issue by rehiring him as a new employee, after which he quit. The incident highlights the risks of fully automated termination systems without human override.
10 source articles · read the reporting →
Deloitte to refund Australian government after AI-generated report errors
Deloitte used generative AI (Azure OpenAI GPT-4o) to help produce an independent assurance review for Australia's Department of Employment and Workplace Relations. The report, published in July 2025, contained multiple errors including non-existent academic references and a fabricated court case. After the errors were flagged, Deloitte acknowledged the AI use and agreed to refund the final instalment of the A$439,000 contract. The report was corrected, but its substance and recommendations remained unchanged.
- Company involved
- Deloitte
- AI system involved
- Azure OpenAI GPT-4o
5 source articles · read the reporting →
Inland Revenue warns of AI scam using commissioner's image
Scammers used AI-generated images and messaging to impersonate New Zealand's Commissioner of Inland Revenue, Peter Mersi, in social media ads inviting people to a fake crypto tax webinar. The ads aimed to trick people into giving personal information for identity theft or account access. Inland Revenue received over 3000 scam reports in three months and worked to have the ads removed, but they kept reappearing. The department warned the public about the increasing use of AI in investment scams.
2 source articles · read the reporting →
Joel A. Rivera v. Triad Properties Corporation, et al. (N.D. Alabama): AI-hallucinated content in court filing, Public Reprimand; Disqualification; Bar…
The AI generated fabricated legal citations that were presented to the court, affecting the defendants and the judicial process.
- Company involved
- Burrill Watkins LLC
- AI system involved
- ChatGPT
1 source article · read the reporting →
UberEats algorithm change causes pay cuts and financial hardship for car drivers
A survey by the Transport Workers' Union found that UberEats car drivers experienced a 50% pay cut after the company changed its delivery allocation algorithm to preference cyclists and scooter riders. Drivers reported bankruptcy, homelessness, and inability to support their families. The TWU has called for regulation of the gig economy and delivered a letter to the NSW shadow minister.
- Company involved
- UberEats
- AI system involved
- UberEats platform
10 source articles · read the reporting →
Shipt's new V2 algorithm reduces pay for 41% of workers, study finds
A study by MIT Media Lab and Coworker.org found that Shipt's new V2 payment algorithm reduced pay for 41% of workers by an average of 11% per shop. The algorithm, rolled out in September 2020, replaced a transparent payment system with a black-box model. Workers pooled data to analyze the impact, revealing uneven distribution of earnings.
- Company involved
- Shipt
- AI system involved
- V2
10 source articles · read the reporting →
