AI & Automated Decision-Making Disclosure

Version: 1.0 Last Updated: January 19, 2026

Important: Our AI systems are designed to assist with understanding and utilizing health insurance benefits. They are not a substitute for professional medical advice, diagnosis, or treatment. Users should always consult qualified healthcare professionals for medical decisions and verify coverage information with their insurance carrier.

Introduction

This disclosure explains how Benefitly, LLC ("Benefitly," "we," "us," or "our") employs artificial intelligence, machine learning, and automated technologies in providing our services. By using Benefitly, you acknowledge and agree to the terms described in this document.

This disclosure is provided in compliance with the General Data Protection Regulation (GDPR), California Consumer Privacy Act (CCPA), and other applicable privacy laws.

What is Automated Decision-Making?

Automated decision-making occurs when technology makes decisions about you without meaningful human involvement. This includes:

How We Use AI & Automated Systems

1. Coverage Analysis and Benefit Identification

Our system automatically analyzes health insurance plan documents and identifies covered services, deductibles, copayments, and out-of-pocket maximums. It determines eligible benefits and calculates estimated healthcare costs by parsing plan documents.

Data used: Your insurance plan type and carrier, plan documents and coverage details, enrollment information, and any additional data you have provided.

Impact: Affects what benefit information is displayed to you, service recommendations, and cost estimates you receive.

The system may produce errors or incomplete information. Users should always confirm coverage details by reviewing their official plan documents or contacting their insurance company directly before making healthcare decisions.

2. Provider Matching and Recommendations

Our system matches you with in-network providers and ranks providers based on location, specialty, availability, and ratings. It filters out-of-network providers and suggests providers based on your needs and preferences.

Data used: Your location, insurance network, healthcare needs, provider specialties, and past provider interactions.

Impact: Determines which providers are shown to you and their order, influences the recommendations you receive, and may limit your view to in-network providers.

3. Underutilized Benefit Identification

Our system analyzes benefit usage patterns to identify unused covered services, predicts relevant benefits that may be valuable to you, and sends notifications about unused benefits.

Data used: Your coverage details, services you have searched for or accessed, demographic information, and aggregated usage patterns.

Impact: Determines the benefit recommendations you receive, influences notification content, and affects the educational content displayed to you.

Users may disable personalized recommendations at any time and can adjust notification preferences through their account settings.

4. Chatbot Responses and Guidance

Our system interprets your questions using natural language processing and generates responses based on your plan and our knowledge base. It provides step-by-step guidance and routes complex questions to human support while formulating personalized guidance based on your specific situation.

Data used: Your questions and conversation history, insurance plan details, previous chatbot interactions, and common question patterns.

Impact: Determines the responses to your questions, affects information accuracy and relevance, and influences when you are escalated to human support.

5. Account Security and Fraud Prevention

Our system monitors login attempts and account activity for suspicious patterns, flags unusual behavior, may restrict access if fraud is suspected, and requires additional verification for high-risk activities.

Data used: Login times and locations, device information, access patterns, failed login attempts, and comparison to your typical behavior.

Impact: May require additional authentication, can temporarily limit access to protect your account, and affects the security notifications you receive.

Our security team reviews all flagged accounts, and support can resolve issues quickly. False positives are corrected promptly, and users can verify their identity to restore access immediately.

6. Platform Personalization

Our system customizes your dashboard and interface, prioritizes information based on your usage patterns, suggests features you may find helpful, and adapts content to your preferences.

Data used: The features you use, time spent on the platform, your search and browsing patterns, and your configured preferences.

Impact: Affects the displayed content and its order, influences feature highlights, and shapes your overall user experience.

Users may customize their dashboard at any time, can reset to standard view, and can disable personalization entirely.

Your Rights

Right to Be Informed

You have the right to know when automated decision-making is used, what data is processed, the logic behind decisions, and the consequences of those decisions. This disclosure fulfills that right, and you may request additional information at any time by contacting us.

Right to Contest Decisions

You may disagree with automated recommendations, request reconsideration of any decision, provide additional context that the system may not have considered, or appeal decisions that affect your experience. To contest a decision, email support@benefitly.ai with details about the decision and any supporting information you wish to provide.

Right to Explanation

You may request an explanation of how an automated decision was made, what factors were considered in reaching that decision, and what data influenced the outcome. To request an explanation, you can use the relevant app feature, email support@benefitly.ai, or contact support through the platform.

Right to Data Portability

You may request a copy of the data used in automated decisions and transfer your data to another service. To request your data, you can use the "Export My Data" feature in your account settings or email privacy@benefitly.ai.

Right to Correct AI Errors

You may report errors in AI-generated content or recommendations at any time. To report an error, contact support@benefitly.ai. All reported errors will be reviewed and addressed within five business days.

Limitations & Disclaimers

What Our AI Can Do

What Our AI Cannot Do

Our AI does not: provide medical advice, diagnosis, or treatment; replace healthcare providers; guarantee coverage for specific services; override insurance company policies; predict future health outcomes; access complete medical records unless you specifically provide them; or make healthcare decisions on your behalf. Users retain full control over all healthcare choices.

Known Limitations

User Responsibilities

Important: Benefitly's AI provides information about insurance coverage only and should not be relied upon for medical or legal advice. Users should consult qualified professionals for medical or legal guidance. Coverage analysis is based on available documents and may not reflect real-time changes made by your insurance carrier. Users are responsible for verifying coverage with their insurance carrier before receiving services.

Decisions Never Made by Automated Systems

The following decisions are never made solely by automated systems and always require human involvement or are made by external parties:

All final coverage decisions rest with your insurance carrier or provider, not with Benefitly or our AI systems.

Safeguards & Security

Quality & Fairness Safeguards

Security Measures

Third-Party AI Services

Benefitly utilizes third-party AI services for infrastructure, analytics, and chatbot functionality. All third-party providers are contractually obligated to comply with HIPAA regulations and are prohibited from using data for non-service purposes. These providers are subject to the same security standards we maintain for our own systems.

Data Usage

Data Sources for Automated Decisions

Direct user input: Your health insurance plan details, questions submitted to the chatbot, healthcare preferences, feedback, and configured preferences.

From employers or insurance carriers: Plan documents, coverage details, network information, eligibility information, and claims history if authorized by you.

From third-party databases: Provider directories, health facility information, and cost data.

Automatically collected: Platform interaction data, device and browser information, usage patterns, features used and time spent, and search and browsing patterns.

Data We Do Not Use

Benefitly does not use the following for any automated decisions:

Data Usage for AI Training and Improvement

Benefitly may use de-identified or aggregated data to improve AI accuracy, develop new features, analyze usage trends, and enhance system performance. All data used for these purposes is protected through encryption and strict access controls.

We retain data for a maximum of three years, and earlier deletion is available upon request. Users may opt out of data use for AI training and may request review or deletion of their data at any time by emailing support@benefitly.ai.

Updates & Changes

Benefitly may update automated decision-making systems to improve accuracy, add features, comply with regulations, or address issues that arise.

When we make material changes that affect how automated decisions are made or how your data is used, we will:

The current version of this disclosure is always available in your account settings and at www.benefitly.ai/ai-disclosure. Continued use of the service after updates are announced constitutes consent to the changes.

Contact & Support

General Support support@benefitly.ai
Privacy Questions privacy@benefitly.ai
AI Ethics & Safety ai-safety@benefitly.ai

Regulatory Complaints

You may also file complaints with the Federal Trade Commission (FTC), your state Attorney General, or if you are in the EU/EEA, your Data Protection Authority.

AI Technology Glossary

Artificial Intelligence (AI): Computer systems that perform tasks requiring human intelligence.

Machine Learning: AI that improves automatically through experience.

Natural Language Processing (NLP): Technology enabling computers to understand human language.

Algorithm: A set of rules or instructions that AI follows to make decisions.

Training Data: The information used to teach AI systems how to perform tasks.

De-identification: The process of removing personal identifiers from data.

Automated Decision-Making: Decisions made by AI without human intervention.

Bias: Systematic errors in AI outputs that may favor or disadvantage certain groups.

Confidence Score: A measure of how certain the AI is in its responses.

Profiling: The use of automated processing to evaluate personal aspects about an individual.

By using the Services, you acknowledge that you have read and understood this AI & Automated Decision-Making Disclosure, and you consent to the use of automated systems as described herein.