Colorado SB 26-189
A 2026 Colorado law that replaced SB 24-205 with a narrower disclosure-and-recourse framework for automated decision-making in insurance.
Colorado Senate Bill 26-189, signed in May 2026, repealed the Colorado AI Act (SB 24-205) and replaced it with a narrower law focused on automated decision-making. It takes effect on January 1, 2027, and requires developers and deployers of high-risk AI systems to disclose AI use and give consumers a right to appeal or correct adverse decisions.
For insurers, SB 26-189 is a disclosure-and-recourse law rather than a comprehensive risk-management regime. It requires carriers to notify consumers when an AI system has materially contributed to a decision, to explain the decision, and to provide a clear path to appeal or correct personal data used in the decision.
The law was passed under federal pressure from Executive Order 14365, which cited Colorado’s earlier SB 24-205 as an example of excessive state regulation. SB 26-189 is narrower but still creates concrete workflow obligations for insurers. See our analysis of Colorado SB 26-189 and its impact on insurers.