The state of Colorado has enacted laws and/or issued guidance on Artificial Intelligence (AI). Companies subject to Colorado law should be familiar with all relevant AI-related laws, regulations, and guidance, including those listed below.
Laws and Regulations
General
This law repeals and reenacts the 2024 AI Act, replacing its broader “high-risk artificial intelligence” framework with rules focused on automated decision-making technology (ADMT) used to materially influence “consequential decisions.” It covers ADMT used in decisions affecting areas such as employment, education, housing, lending, insurance, health care, and essential government services. The law imposes obligations on developers and deployers, including documentation, notice, recordkeeping, explanations after adverse decisions, and opportunities for consumers to seek correction and human review.
This law creates a cause of action against a person who discloses or threatens to disclose a highly realistic but false visual depiction of another individual that has been created, altered, or produced by generative AI, image editing software, or computer-generated means.
Elections
The following law applies in the context of elections in Colorado.
The Law prohibits a person from distributing, disseminating, publishing, broadcasting, transmitting, or displaying a communication concerning a candidate for elective office that includes a deepfake, either 60 days before a primary election or 90 days before a general election, if the person knows or has reckless disregard for the fact that the depicted candidate did not say or do what the candidate is depicted as saying or doing in the communication. This prohibition does not apply to a communication that includes a disclosure as specified under the Law. The Law exempts certain entities when specific conditions apply, such as where a particular disclosure is provided.
Insurance
The Law holds insurers accountable for testing their big data systems - including external consumer data and information sources, algorithms, and predictive models - to ensure they are not unfairly discriminating against consumers on the basis of a protected class. Insurers must take corrective action to address any consumer harms that are discovered. It also directs the commissioner to establish rules for insurers to demonstrate to the Division of Insurance how they are testing their data and tools to ensure they do not result in unfair discrimination.
