US-NV

Nevada AB 406 — Mental and Behavioral Healthcare AI: AI Compliance Requirements

Nevada Governor Lombardo signed AB 406 on June 5, 2025 (effective July 1, 2025). The law prohibits two things: (1) Offering any AI system designed to provide services that constitute the practice of professional mental or behavioral healthcare — i.e., no AI therapy apps. (2) Nevada-licensed mental/behavioral health providers cannot use AI systems in direct patient care. Providers CAN use AI for administrative support (scheduling, billing, documentation) but not for clinical interactions with patients. A company offering an AI chatbot that provides therapeutic services to Nevada residents is directly in violation.

Key Facts

Effective Date

July 1, 2025

Maximum Penalty

Nevada healthcare licensing enforcement — license suspension/revocation + civil penalties

What Your Business Must Do

2 compliance requirements identified. Critical requirements carry the highest risk of enforcement action.

No AI Therapy Services

Critical

If you operate or distribute an AI product that provides mental health, behavioral health, or therapeutic services (e.g., AI therapist, AI counselor, AI mental health support chatbot): this is PROHIBITED in Nevada as of July 1, 2025. Clearly restrict your product from providing mental/behavioral healthcare services. If your product claims therapeutic benefit, remove that framing.

Deadline: July 1, 2025

Provider AI Use Policy (Administrative Only)

High Priority

Nevada licensed mental/behavioral health providers: AI may only be used for administrative tasks (scheduling, billing, documentation). Document your AI use policy explicitly stating AI is not used in direct patient interactions or clinical decision-making. Train staff on this boundary.

Frequently Asked Questions

Does Nevada AB 406 — Mental and Behavioral Healthcare AI apply to my business?

Nevada Governor Lombardo signed AB 406 on June 5, 2025 (effective July 1, 2025). The law prohibits two things: (1) Offering any AI system designed to provide services that constitute the practice of professional mental or behavioral healthcare — i.e.. Use ComplianceIQ's free scanner to get a personalized assessment in under 5 minutes.

What is the penalty for non-compliance?

The maximum penalty under Nevada AB 406 — Mental and Behavioral Healthcare AI is: Nevada healthcare licensing enforcement — license suspension/revocation + civil penalties. Fines are typically scaled by company size, severity of violation, and whether violations were willful or accidental.

How do I comply with Nevada AB 406 — Mental and Behavioral Healthcare AI?

The 2 requirements above cover the core obligations. The fastest path to compliance is: (1) conduct an AI risk assessment, (2) document your AI systems, (3) implement transparency disclosures where required. ComplianceIQ generates all required documents automatically.

Official Source

https://www.wsgr.com/en/insights/nevada-passes-law-limiting-ai-use-for-mental-and-behavioral-healthcare.html

Last updated: 2026-04-12 — verify at source before relying on this information.

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