Artificial Intelligence (AI) is here to stay. In many areas of business, art and even healthcare, AI provides quick access to information, processes and creativity.
According to IBM, an early leader in computer manufacture and software that made huge impacts on the use of them defines AI: “Artificial intelligence (AI) is technology that enables computers and machines to simulate human learning, comprehension, problem solving, decision making, creativity and autonomy.”1
Simply put, AI can “replace” the need for human intelligence, with a common use today being a self-driving car.
But AI has no emotions or caregiving skills. Thus, CARF International acted to protect clients in health and human services through initiating the first AI standard for accreditation. Its new standard requires written policies and procedures if AI is used in relation to the delivery of a program/service.
“It is apparent that AI is going to occupy a significant role in most businesses. As adoption in healthcare is still in the early stages, it is important for CARF to set the bar that ensures the best possible outcomes for persons served,” said Michael Johnson, Senior Managing Director of Behavioral Health, CARF International.2
Staff Responsibilities
Human oversight is critically important in client care. Organizations pursuing accreditation are required to provide evidence of human supervision and accountability during a CARF survey.
Ultimately, it’s human judgment that provides authority when monitoring and reviewing AI outputs.
Accountability steps include making sure staff receives regular training on using or supervising AI tools, setting up a governance committee to check that vendors are trustworthy and open about their data, and making sure all AI tools used follow ethical rules and laws.
“AI relies on data to function, and if data of persons served is used, there could be risk to privacy and data security,” said Terrence Carolan, Managing Director of Medical Rehabilitation and Aging Services, CARF International. “Having an AI standard that highlights disclosure to persons served is so impactful and consistent with CARF’s approach to accountability and transparency of accredited programs.”2
AI CARF Standard Components
The CARF AI standard outlines key requirements for policies and procedures, including:
- Organizational use of AI
- Disclosure to clients about AI use in service delivery and health data analysis and processing
- Health information privacy and sensitive data protection
- Human oversight and accountability
- Incident response criteria within the organization and to persons served
- Annual review and updates of AI policies
- Notation that the CARF standard is in effect
This CARF standard is part of the ASPIRE to Excellence® framework and takes effect July 1, 2026.
PowderHorn Consulting is prepared to review the standards with existing and new clients as they seek CARF accreditation. Receiving CARF accreditation can enhance payer advantages, operational excellence, competitive edge, improve outcomes, staff morale and risk management. A CARF consultant can make it easier for a health and human services organization to become accredited. Contact PowderHorn Consulting if your organization is seeking a CARF consultant.
Q&A
- Q: What is the main purpose of CARF’s new AI standard for health and human services accreditation?
A: The primary goal of CARF’s AI standard is to ensure that organizations using AI in health and human services have written policies and procedures in place. These guidelines promote human oversight, accountability, and ethical use of AI, safeguarding the interests of clients and protecting sensitive health information. Human judgment remains the final authority in monitoring and reviewing AI outputs, emphasizing the importance of transparency and client protection.
- Q: What are the key requirements organizations must meet under the CARF AI standard?
A: Organizations seeking accreditation must demonstrate several key practices, including: documenting their use of AI, disclosing AI involvement to clients, protecting health information privacy, ensuring human oversight and accountability, establishing incident response plans, reviewing and updating AI policies annually, and noting compliance with the CARF standard. Regular staff training and the formation of a governance committee to assess vendor transparency are also required.
- Q: What are the key benefits of CARF accreditation with the new AI standard for health and human services organizations?
A: Achieving CARF accreditation can provide organizations with several advantages, such as improved payer relationships, operational excellence, a stronger competitive position, enhanced outcomes, better staff morale, and more robust risk management. The new AI standard helps ensure responsible and secure use of technology, which supports trust and transparency for persons served and regulatory compliance.
