Illinois has officially banned AI from acting as a therapist or counselor, marking a significant regulatory move amid growing concerns over AI’s role in mental healthcare. Governor JB Pritzker signed the Wellness and Oversight for Psychological Resources Act, which restricts AI to administrative and support tasks, explicitly prohibiting its use in providing therapy or making independent clinical decisions.
Under the new law, AI platforms cannot generate treatment plans, assess emotional states, or offer therapy services unless overseen by a licensed human professional. Violators could face fines up to $10,000. The Illinois Department of Financial and Professional Regulation will enforce the law, with officials stressing the importance of ensuring mental health care remains in the hands of qualified practitioners. “The people of Illinois deserve quality healthcare from real, qualified professionals and not computer programs,” said Mario Treto, Jr., the department’s secretary.
Illinois is not alone. Nevada enacted a similar ban in June, barring AI from providing therapeutic services in schools. Utah passed regulations mandating clear AI disclosures for mental health chatbots and prohibiting the use of personal data for targeted advertising. New York’s forthcoming law, effective November 5, 2025, will require AI companions to redirect users expressing suicidal thoughts to human crisis support services.
There were concerns reported by the American Psychological Association (APA), which earlier this year raised alarms with federal regulators over AI’s encroachment into therapy. The APA highlighted cases where AI-driven chatbots allegedly posed as licensed therapists, resulting in tragic consequences, including suicide and violence.
As AI’s presence in healthcare accelerates, states are moving to draw a firm line: administrative support is acceptable, but therapy must remain human-led.
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