HomeLegal DirectoryTX TDI Bulletin B-0003-26 (AI in insurance)

In effect Moderate protection

Texas Department of Insurance Commissioner's Bulletin B-0003-26 — Use of Artificial Intelligence by Insurers (2026)

Texas · Texas Department of Insurance, Commissioner's Bulletin B-0003-26 (June 12, 2026)

The Texas Department of Insurance issued Commissioner's Bulletin B-0003-26 on June 12, 2026, telling insurers that decisions made with artificial intelligence must comply with Texas insurance law: AI-driven decisions may not be inaccurate, arbitrary, capricious, or unfairly discriminatory. Insurers must have a human review and approve consequential AI decisions before they take effect, maintain governance, risk-management, and audit programs for their AI systems, and keep documentation they can produce to TDI on request. TDI will police compliance through examinations and complaint monitoring.

Technical detail

TDI Commissioner's Bulletin B-0003-26 (June 12, 2026). Requirements for insurers using AI: (1) AI-derived decisions must comply with the Texas Insurance Code — not inaccurate, arbitrary, capricious, or unfairly discriminatory; (2) human review AND approval required before consequential AI decisions take effect; (3) governance, risk-management, and audit programs for AI systems; (4) documentation producible to TDI on request; (5) compliance monitored via examinations and complaint monitoring. Interpretive bulletin applying existing statutory authority — not new rulemaking.

Who is protected: Texas insurance consumers — policyholders and claimants subject to AI-driven underwriting, rating, or claims decisions

Who must comply: Insurers and other TDI-regulated entities using artificial intelligence in the business of insurance in Texas

Key facts

JurisdictionTexas
LevelState
StatusIn effect
Protection strengthModerate protection
Effective date2026-06-12
Enacted2026-06-12
CitationTexas Department of Insurance, Commissioner's Bulletin B-0003-26 (June 12, 2026)
Enforced byTexas Department of Insurance (examinations and complaint monitoring; existing Insurance Code sanctions)
PenaltiesExisting Texas Insurance Code enforcement tools apply (examination findings, administrative action for violations of insurance law)
Topicsinsurance AI · consumer protection · automated decision-making
Last verified2026-07-19
Official sourceCommissioner's Bulletin # B-0003-26 — Texas Department of Insurance ↗

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