Illinois Restricts AI in Mental Health as Experts Warn of ‘AI Psychosis’ Risks
CHICAGO — Illinois has become just the third state in the country to place formal restrictions on the use of artificial intelligence in the mental health field, as concerns mount about its unregulated influence on patients and the rise of “AI psychosis” — a new term some experts are using to describe hallucination-like symptoms caused by excessive AI interaction.
Governor J.B. Pritzker signed the new law this week, which bars state mental health facilities and providers from using generative AI tools — like ChatGPT and similar bots — to evaluate or diagnose patients without informed consent or human oversight.
New Law Aims to Protect Patients from Misuse of AI Tools
The legislation, which takes effect immediately, was introduced after a series of warnings from psychologists, psychiatrists, and advocacy groups. Some professionals argue that AI tools are being used recklessly, with little understanding of how prolonged interaction might affect vulnerable individuals.
Dr. Stephen Feldman, a psychiatrist and AI researcher based in Illinois, said that patients, especially those with existing psychotic conditions, are showing signs of what he calls AI-induced detachment. “They begin treating the bot as a sentient being,” he said. “In some cases, people report that the AI is talking back to them — even when it isn’t.”
Emerging Fears Around ‘AI Psychosis’
While the term “AI psychosis” is not yet a recognized medical diagnosis, mental health experts say they are seeing real patterns of concern. As WTTW News reports, people struggling with loneliness or delusion may form unhealthy attachments to AI personalities, which can compound existing mental health issues or blur reality.
“There’s no regulation right now,” said Illinois State Rep. Ann Williams, who helped lead the legislative effort. “AI can be used in ways that we’re only beginning to understand — and when you bring mental health into the equation, the stakes are incredibly high.”
Illinois Joins California and New York in Regulating AI in Health
Illinois is now the third U.S. state to implement any kind of restriction on AI use in health care, following limited moves in California and New York. But experts say more states may soon follow suit.
The Illinois law specifically prohibits:
- Using AI to diagnose, assess, or prescribe treatment without human review
- Deploying AI chatbots as replacements for therapists or counselors
- Collecting mental health data from users through AI without clear consent
Supporters of the bill say these guardrails are a necessary first step toward accountability.
AI in Health Still Has Potential — If Regulated
Despite these concerns, many health care providers still see promise in using artificial intelligence — especially for supporting documentation, appointment reminders, or symptom screening.
But Rep. Williams emphasized that any such use must be “supplemental” to real human care. “AI is a tool — not a doctor, not a therapist,” she said.
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