This in-depth analysis by Eric Dinallo, Avi Gesser, Matt Kelly, Samuel J. Allaman, Melyssa Eigen, Ned Terrace, Stephanie Thomas, and Mengyi Xu examines Colorado’s proposed amendment to extend its AI governance and risk-management regulations—originally for life insurers—to auto and health insurance providers. Highlighting key updates like bias evaluations, board-level oversight, clear consumer explanation of adverse AI-driven decisions, and mandated human oversight in healthcare determinations, the authors draw attention to near-term compliance deadlines in 2025. It underscores a shift, showing how state regulators are preemptively integrating AI into sector-specific governance, offering legal and compliance teams concrete preparation steps. This matters to legal professionals because it signals growing state-level enforcement of AI accountability in insurance, helping counsel advise insurers on bridging internal policies with emerging regulatory frameworks.