Legislators aim to prohibit AI firms from trading your health information.

A new initiative aims to prohibit the sale of Americans’ health and location data to data brokers, including information shared with AI chatbots like ChatGPT or Claude. In the upcoming weeks, Senator Elizabeth Warren and Representative Mary Gay Scanlon are set to introduce an updated version of the Health and Location Data Protection Act, tailored for the AI landscape. The original bill, introduced in June 2022, sought to prevent data brokers from collecting and selling health and location data. Now, four years later, it has evolved to also restrict other companies from selling this data to brokers and specifically addresses data input into AI systems.

AI developers are increasingly focused on creating health and medical applications. In January, Elon Musk encouraged users to upload their medical records, such as MRI scans, to Grok, xAI’s chatbot. That same month, OpenAI launched ChatGPT Health, a more secure section within ChatGPT, urging users to share their medical records and sensitive information. Additionally, it rolled out ChatGPT for Healthcare, targeting medical professionals. Shortly after, Anthropic introduced Claude for Healthcare, a “HIPAA-ready” tool designed for individuals, healthcare providers, and hospitals.

However, when it comes to data breaches or unauthorized access, users often find themselves at the mercy of AI companies. The level of data protection for tools like those from OpenAI and Anthropic largely hinges on the promises made in their privacy policies and terms of use, as noted by Sara Gerke, a law professor at the University of Illinois Urbana-Champaign. The U.S. still lacks a comprehensive federal framework for data privacy, despite numerous efforts over the years.

This new bill, also backed by Senators Ron Wyden and Bernie Sanders, would mandate the Federal Trade Commission to implement the rules within 180 days. It would empower the FTC, state attorneys general, and affected individuals to take legal action for enforcement. Additionally, it allocates $1 billion to the FTC over the next decade for enforcement purposes.

“It’s more important than ever that we crack down on data brokers that are raking in giant profits from selling Americans’ most sensitive information,” Senator Warren stated. “Especially as more people enter their private health data into AI, we need to ensure that information isn’t exploited by the highest bidder.”