Key points
Three states now ban AI chatbots from delivering therapy or clinical decisions.
Student anxiety grows as AI reshapes jobs, learning, and mental health support.
Colleges must adapt training, ethics, and counseling practices under new laws.
National debates continue as states and federal agencies weigh AI regulations.
In 2025, three U.S. states (Utah, Nevada, and Illinois) have taken significant steps to limit the role of artificial intelligence in mental health care. Each state enacted laws that prohibit AI chatbots from providing therapy , diagnosis, or therapeutic decision-making , while still allowing their use for administrative support like scheduling and documentation. Utah’s restrictions went into effect first on May 7, followed by Nevada on July 1, and Illinois