Grimm Featured on AI Adoption and Use in Health Care Systems
Competition Policy International
Health Care Practice Co-Leader Douglas Grimm was a featured guest on Competition Policy International, a PYMNTS company, to discuss how deregulating artificial intelligence (AI) for use in health care doesn’t necessarily remove barriers to the industry’s adoption.
“Deregulation doesn’t dissolve the concentration. It relocates the focus,” Douglas said.
Instead of focusing on diagnosis and treatment, the industry’s AI use is concentrated in hospital governance, litigation readiness and continuous monitoring.
“The focus is on the back-end post-market surveillance, real-time monitoring, and then looking to see how the model may drift,” he said. “It’s not static.”
Since AI use in health care adjusts with patient population, data inputs, and software evolution, health systems must commit to governing the tool throughout its lifecycle. The US Food and Drug Administration (FDA) has attempted to soften this through predetermined change control plans (PCCPs).
Douglas calls PCCPs a “kind of discount to get in the door.”
He noted that though adoption is limited, use has increased from 2% to 10% over the past year.
However, hospitals and health systems still carry a large amount of liability from AI use. Currently, the learned intermediary doctrine says that a manufacturer may satisfy its legal obligation by warning a physician or hospital about known risks of a device. That framework becomes increasingly unstable when clinicians don’t fully understand the technology operating behind a recommendation — or reconstruct which version of an algorithm was running when a mistake occurred.
“The company that can afford to litigate an unsettled question wins,” Douglas said.
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