Morning Briefing
Summaries of health policy coverage from major news organizations
Australia Says OpenAI Agents Breached Government-Run Healthcare Website
The New York Times: OpenAI Agent Hacked Public Health Care Site, Australia Says
Artificial intelligence agents for OpenAI infiltrated a government-run public health care website in Australia in June and accessed nonpublic information, Prime Minister Anthony Albanese said on Wednesday. The case prompted a government investigation into the breach and raised alarm about rogue activities by fast-advancing A.I. systems. OpenAI informed Australia of the unauthorized access on Sept. 10, nearly three months after it happened, Mr. Albanese said in disclosing details of the incident, the first known instance of a breach into government systems. Calling the hack “unacceptable,” Mr. Albanese, who was in New York for the United Nations General Assembly, said he had personally raised his concerns with Sam Altman, chief executive of OpenAI, earlier in the day. (Kim, 9/23)
More on the use of AI in healthcare —
The New York Times: Battle Of Hospital A.I. Vs. Insurer A.I. Is Pushing Medical Costs Higher
In the latest sign that artificial intelligence is fueling higher health care costs, a group of insurers released a report Thursday claiming that hospitals’ use of A.I. was responsible for nearly $1 billion in additional expenses over two years. Using codes for various medical conditions, hospitals submitted claims for tens of thousands of patients that described their illnesses as more complex in 2024 and 2025 than in 2023. Despite the added conditions, there was no evidence that the patients had received different treatment from the hospitals, according to the analysis by the Blue Cross Blue Shield Association, which represents state Blue Cross plans. (Abelson and Rosenbluth, 9/24)
Becker's Hospital Review: AI Is Making Hospital Nursing Professionals Feel Watched: Survey
Nearly two-thirds of hospital nursing professionals surveyed by Black Book Research said they feel individually watched or behaviorally tracked by AI or algorithmic systems used in their workplaces. The findings come from Black Book Research’s State of AI in Hospital Nursing report, an August assessment of 202 hospital nursing professionals who had direct exposure to AI-enabled or algorithmic systems during the previous 12 months. Respondents included bedside nurses, charge nurses, managers, informatics professionals, utilization and case-management nurses, quality and safety personnel, administrators and advanced practice nurses. (Diaz, 9/23)
Modern Healthcare: Oracle Health Launches AI RCM Capabilities, Oncology EHR
Oracle Health announced new artificial intelligence revenue cycle management capabilities and an oncology electronic health record Wednesday at the Oracle Health and Life Sciences Summit. The revenue cycle management tools help with the prior authorization process by checking coverage, pulling documentation requirements and automatically adding the information and evidence. The goal is to help reduce delays and denials, the company said in a Wednesday news release. (Famakinwa, 9/23)
Fierce Healthcare: New AI Procurement Guide Focuses On Environmental Impacts
As the healthcare sector rapidly adopts and deploys artificial intelligence, one organization urges stakeholders to use their purchasing power to demand environmental transparency from AI vendors. Health Care Without Harm (HCWH) has published its U.S. Artificial Intelligence Procurement Guide to support healthcare organizations in identifying their preferred AI vendors and encouraging them to become better stewards of the environment. The guide was created at the behest of HCWH’s health system and payer partners, who were also involved in its development. (Gliadkovskaya, 9/23)
Stat: In Radiology, AI Blurs The Line Between Tech Development And Clinical Practice
A decade ago, machine learning scientist and Nobel laureate Geoffrey Hinton made a proclamation that still puts radiologists on edge. “If you work as a radiologist,” the so-called godfather of artificial intelligence said at a conference, “you’re like a coyote that’s already over the edge of the cliff, but hasn’t yet looked down.” Deep learning was getting so good, so fast, said Hinton, that “people should stop training radiologists now.” In five years — ten, max — AI would do better than radiologists, he predicted. (Palmer, 9/24)
More about healthcare personnel —
Wyoming Public Radio: New Rural Residency Programs Could Come To Arizona, Utah And Wyoming
Millions of federal dollars are going toward developing new medical residency programs in rural areas to help fill gaps in coverage. The U.S. Department of Health and Human Services awarded $11.2 million to support programs in 14 states. That includes Arizona, Utah and Wyoming. This comes as hospitals shut down and providers retire in small towns across the West. (Merzbach, 9/23)
Healthcare Dive: Colorado Judge: Doctor’s Burnout Wasn’t A Disability
An oncologist failed to show that his former employer discriminated against him on the basis of disability in part because his burnout did not qualify as a disability under relevant federal laws, a Colorado federal judge held Wednesday. The plaintiff in Peddada v. Catholic Health Initiatives Colorado alleged that his termination violated the Americans with Disabilities Act as well as Section 504 of the Rehabilitation Act. But because his burnout did not substantially impair major life activities — and because it was transitory and minor — it did not rise to the level of a disability as defined by either law, the judge found. (Golden, 9/21)
Modern Healthcare: Joint Commission CEO Dr. Jonathan Perlin To Retire
Dr. Jonathan Perlin, president and CEO of the Joint Commission, plans to retire from his position at the end of the year. Dr. James Merlino, chief operating officer of the accrediting agency, will succeed Perlin Jan. 1, according to a Wednesday news release. After Merlino takes the helm, Perlin will serve as a strategic adviser and president emeritus through at least 2027, the Joint Commission said. (DeSilva, 9/23)
MPR News: Rochester, Minnesota's Biomedical Economy Needs Workers
In a Winona State University biology lab, freshman Chayse Pulvermacher was isolating the DNA of an apple and then pipetting it into a special gel to see if she could identify it. The process is full of skills she hopes will help her land a job after college. (Richert, 9/24)
In other news from the healthcare industry —
San Francisco Chronicle: California Health System To Pay $18M In Therapist Assault Case
A California health system must pay $18.5 million to seven women who claimed a physical therapist sexually abused them under the guise of providing therapy, according to a settlement agreement reviewed by the Chronicle. In a lawsuit filed in May 2025, the women accused the therapist, Jason Elias, of groping them, rubbing their genitals during what he claimed were therapeutic massages and covertly photographing them while they were exposed on treatment tables. (Vân Neely, 9/23)
North Carolina Health News: New Facility Adds Youth Psychiatric Beds In Western NC
Cool blues and soothing greens cover the walls at the new inpatient Pardee Adolescent Behavioral Health Center at UNC Health Pardee’s Hospital in Hendersonville. And for teens in Henderson and surrounding counties, those walls will enclose a safe space for kids experiencing mental health challenges. (Fernandez, 9/24)
Modern Healthcare: Hospital-At-Home Programs Tackle Supply Logistics Challenges
Health systems are partnering with third-party vendors or building their own logistics operations to solve one of the trickier parts of hospital-at home-programs — getting supplies to the patient. They’ve found that coordinating the movement of remote monitoring equipment and other products to and from patients’ homes can be challenging. A growing number of companies including Cardinal Health, DispatchHealth, Ryder and United Parcel Service are stepping in to provide those services to hospital-at-home programs. (Eastabrook, 9/23)
Modern Healthcare: UnitedHealth, Cigna Team With CertifyOS On Provider Credentialing
Health insurance companies are joining forces to simplify the arduous provider credentialing process. UnitedHealth Group subsidiary UnitedHealthcare, Cigna Group subsidiary Cigna Healthcare and Centene are partnering with third-party vendor CertifyOS to launch a national shared credentialing program, CertifyOS announced Wednesday. The partnership will also include other insurers, such as Blue Cross and Blue Shield carriers, CertifyOS CEO Anshul Rathi said. (Tong, 9/23)
