Artificial Intelligence (AI) Banned In Mental Health Industry?!
New York Post, Aug 2025
3 states so far have BANNED Artificial Intelligence from being used in the mental health industry.
On August 1, 2025, Illinois Governor J.B. Pritzker signed and passed a new law, the Wellness and Oversight for Psychological Resources (WOPR) Act, effective immediately. The law:
Bans the use of AI by licensed mental health professionals for:
Making independent therapeutic decisions
Direct client communication for therapy or treatment
Generating treatment plans or recommendations without human review
Detecting emotions or mental states Nixon Peabody LLPNational Law Review
Allows AI use for non-clinical tasks such as administrative support, drafting therapy notes, or identifying referral resources—provided the licensed professional maintains confidentiality and oversight Nixon Peabody LLPNational Law Review.
Enforcement: Citizens can submit complaints to the Illinois Department of Financial and Professional Regulation, which assesses violations. Penalties can reach up to $10,000 per violation New York PostNixon Peabody LLPNational Law Review.
Utah and Nevada Also Leading the Way
In May 2025, Utah passed amendments to its Artificial Intelligence Policy Act (UAIPA), including HB 452, which:
Requires disclosures that chatbot users are interacting with AI (not a human)
Limits advertising and restricts the sharing of user health data
Mandates policies around licensed professional involvement and safeguards
Penalties include daily fines up to $2,500, or $5,000 per violation in court, plus other enforcement measures Healthcare Law BlogFuture of Privacy Forumnews.verifiedcredentials.comxenoss.io
On June 5, 2025, Nevada enacted AB 406, prohibiting:
AI systems from offering services that constitute professional mental or behavioral healthcare
Claims implying that AI can act as a mental health provider
Licensed professionals may use AI only for administrative tasks—and must independently verify outputs
Civil penalties go up to $15,000 per violation; enforcement lies with the Division of Public and Behavioral Health Wilson Sonsini Home PageManatt
Why These Laws Matter
The laws originate amid growing concern about the risks that unregulated AI chatbots pose to mental health, especially among vulnerable individuals—including:
Reports of “AI psychosis”: Users developing delusions or harmful behaviors after prolonged engagement with AI New York PostWikipedia+1arXiv.
Instances of chatbots giving harmful or dangerous advice, such as encouraging meth use or suicidal ideation The Washington Post+1Wikipedia+1.
A perceived lack of emotional insight and corrective feedback in chatbots, contrasted with the therapeutic role of human clinicians
Although these laws don't prevent individuals from using AI independently, they set frameworks to guard against misrepresentation and unsupervised therapeutic AI, laying the groundwork for future regulation in this emerging field.
Read more here!
https://nypost.com/2025/08/13/us-news/illinois-becomes-third-state-to-restrict-use-of-ai-in-mental-health-industry-as-experts-warn-about-ai-psychosis/?utm_source=chatgpt.com
Resource of the Month: HEADSPACE XR ~ Mindfulness in the Metaverse
Headspace XR is a mixed reality mindfulness app for the Meta Quest (Quest 2, 3, and Pro) developed with Nexus Studios. It combines VR and MR to deliver meditation, breathwork, mood-boosting games, and movement-based mindfulness exercises. Available for $19.99 as a one-time purchase, rated E for Everyone.
Purpose:
Make mental health practices more accessible and appealing, especially for Gen Z and younger millennials in the metaverse.
Address loneliness, stress, and emotional symptoms among younger generations, supported by research from Gallup, Meta, APA, and CDC.
THE VIRTUAL WORLD:Moodstream: Balloon-shaped hub that checks your mood and suggests activities.
Blue Sky Tower: Tracks your mindfulness progress and unlocks new content.
Three main zones:
Energy Dome – Movement and performance games to boost energy.
Playground – Creative, social games like Paint Wall, Hoops Court, and Club House.
Hideout – Calming meditation spaces like Bonfire, Firefly Treehouse, and Coloring Mural.
Features:Guided by Headspace teachers Kessonga and Dora.
Single-player and multiplayer modes.
Activities blend play with mindfulness, using research-backed benefits of play (e.g., improving emotional regulation, boosting oxytocin and dopamine).
Mixed reality experiences like Quiet Your Inner Voice, Take a Beat, and Quick Breaths link virtual exercises to real-life habits.
Platforms: Meta Quest 2, 3, and Pro.
Price: $19.99 one-time purchase.
Language: English.
https://www.headspace.com/articles/mindfulness-in-the-metaverse-headspace-xr-is-a-virtual-playground-for-your-mind
