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
The Law requires developers and deployers of high-risk AI systems to use “reasonable care” to avoid algorithmic discrimination in high-risk AI systems and establishes specific requirements for what constitutes reasonable care. For both developers and deployers, there is a rebuttable presumption that a developer or deployer used reasonable care if either the developer or deployer complied with the respective specified provisions in the Bill.
This law amends the start date of the Law Concerning Consumer Protections in Interactions with Artificial Intelligence Systems from February 1, 2026 to June 30, 2026.
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.
