AI Therapy Banned in Illinois

Illinois Bans AI Therapy, Becoming First State to Regulate Mental Health AI

Illinois Governor JB Pritzker has signed a new law prohibiting the use of AI for therapy in the state. The legislation, known as HB 1806 or the Wellness and Oversight for Psychological Resources Act, marks the first time a U.S. state has regulated AI in mental health services. The law explicitly bans AI chatbots or tools from acting as standalone therapists and requires that only licensed professionals provide counseling.

The bill also restricts licensed therapists from using AI to make therapeutic decisions or engage in therapeutic communication. However, it allows AI to be used for supplementary tasks like scheduling, billing, and other administrative work. Violations of the law carry steep penalties, with fines of up to $10,000 per offense for companies or individuals offering unlicensed AI therapy.

Illinois State Representative Bob Morgan emphasized the dangers of unregulated AI in mental health, citing cases where individuals in crisis turned to AI for help and were allegedly encouraged toward harmful behaviors. The law aims to prevent such incidents by ensuring mental health services remain under the supervision of trained professionals.

Mario Treto Jr., secretary of the Illinois Department of Financial and Professional Regulation, stated that the legislation reflects the state’s commitment to protecting residents by maintaining high standards in mental health care. The bill received unanimous approval in both the Illinois House and Senate, demonstrating strong bipartisan support.

The move comes as the federal government considers broader AI regulations. A recent proposal from the Trump administration suggests a 10-year moratorium on state-level AI rules, potentially conflicting with Illinois’ new law. Meanwhile, companies like OpenAI are working on improving their AI models to detect emotional distress and encourage breaks during extended conversations.

Illinois’ decision to ban AI therapy sets a precedent as the first state to impose such restrictions, raising questions about how other states and federal regulators will approach AI in mental health services moving forward.

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