Canada Proposes Bill to Regulate AI in Education and Healthcare

Canada Proposes Bill to Regulate AI in Education and Healthcare

April 23, 2025: The Canadian government has introduced new legislation to regulate the use of artificial intelligence in education and healthcare, focusing on accountability, data transparency, and algorithmic fairness. The bill, tabled in Parliament as an extension of the Artificial Intelligence and Data Act (AIDA), proposes binding obligations for any AI system deployed in critical public services.

Education-focused provisions require AI tools for student evaluation, adaptive learning, and behavioral analytics to meet strict transparency standards. Institutions must disclose when AI is involved in grading or performance tracking and offer human-led alternatives for appeals. Providers must document model behavior and demonstrate non-discrimination across linguistic, socio-economic, and cognitive dimensions.

The bill applies to AI systems used for diagnostic support, treatment planning, triage algorithms, and administrative decision-making in healthcare. Health Canada will oversee an AI risk classification system and mandate pre-approval for any high-impact systems. Developers must submit technical documentation, training data specifications, and real-world testing results to receive authorization.

The legislation introduces mandatory auditing, bias mitigation protocols, and incident reporting requirements. Institutions using third-party AI vendors must conduct impact assessments and notify patients or students of AI involvement. The bill also proposes a registry of high-risk AI systems, updated annually and open to public inspection.

Privacy advocates support the proposal’s emphasis on consent and redress mechanisms but call for stronger safeguards against automated exclusion, surveillance-based profiling, and data misuse. Provincial governments and school boards have requested clarity on implementation costs and jurisdictional boundaries, especially in education, which remains a shared responsibility.

Industry groups warn that the bill could constrain innovation in health tech and edtech, particularly for startups. The government argues that the framework is designed to ensure public trust and the safe integration of AI into essential services rather than restrict development.

The bill will move to committee review in the coming months, with public consultations planned for spring. A phased implementation is proposed, starting in 2025, with full compliance required by 2027.

Canada Proposes Bill to Regulate AI in Education and Healthcare

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