AI-Driven Prior Authorization Denials: A Challenge for Healthcare and an Opportunity for Denial Management Companies

A growing number of physicians are raising concerns about the expanding role of artificial intelligence (AI) in health insurers’ prior authorization processes. The American Medical Association’s (AMA) latest 2024 AMA Prior Authorization Physician Survey highlights that AI-driven prior authorization denials are worsening patient harm and physician burnout . The survey, which included 1,000 practicing physicians (400 primary care and 600 specialists), found: 61% fear AI-driven prior authorization denials are increasing overall denial rates. 75% reported a rise in prior authorization denials over the past five years. These findings suggest that insurers’ growing reliance on unregulated AI tools may systematically block access to necessary care, reinforcing the need for medical billing solutions that help providers navigate these challenges effectively. AI, Prior Authorization, and Patient Harm Prior authorization has long been a source of frustr...