14 August, 2025
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BREAKING: Illinois has become the latest state to ban the use of artificial intelligence in therapy, a move that could spark similar actions in California, New Jersey, and Pennsylvania. The ban, enacted under the Wellness and Oversight for Psychological Resources Act, prohibits AI from making mental health decisions, raising urgent questions about the future of AI in therapeutic settings.

Illinois Governor JB Pritzker signed the legislation into law on August 1, 2023, following similar restrictions in Nevada and Utah. This decisive action highlights growing concerns regarding the effectiveness and safety of AI-based therapy, especially as at least three other states consider similar measures.

The proposed bills in California, New Jersey, and Pennsylvania could soon reshape the landscape of AI in mental health services. California’s bill aims to establish a working group within the Government Operations Agency to assess AI’s role in therapy. Meanwhile, New Jersey’s legislation would prohibit advertising AI as a substitute for licensed mental health professionals. In Pennsylvania, schools would be required to obtain parental consent before offering virtual mental health services to children.

These developing restrictions come as researchers and tech executives, including Sam Altman, CEO of OpenAI, voice concerns about AI therapy. Altman recently warned that therapy sessions with AI chatbots, like ChatGPT, may not guarantee privacy, emphasizing that sensitive information could be disclosed if legal actions arise.

A recent Stanford University study corroborates these concerns, revealing that AI therapy chatbots often fail to provide suitable responses, expressing stigma and making inappropriate statements about mental health conditions. The findings underscore why Mario Treto, Jr., secretary at Illinois’ Department of Financial and Professional Regulation, stated, “The people of Illinois deserve quality healthcare from real, qualified professionals and not computer programs that pull information from all corners of the internet.”

As these developments unfold, the implications for mental health care are profound. Many are questioning whether AI can effectively support therapeutic processes or if it poses more risks than benefits. The urgency surrounding this issue amplifies as states begin to navigate the balance between technology and human care.

WHAT’S NEXT: Keep an eye on legislative movements in California, New Jersey, and Pennsylvania as they contemplate their own restrictions on AI in therapy. The conversation surrounding AI’s role in mental health continues to gain momentum, and further developments are expected in the coming weeks.

Stay tuned for updates as this story evolves, shaping the future of mental health services across the nation.