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Budget and the Bees
Budget and the Bees
Latrice Perez

7 California AI Laws Changing How You Interact With Chatbots in 2026

California AI Laws Changing
Image source: Shutterstock.com

Artificial intelligence now weaves into nearly every part of modern life. It spans from customer service chats to health apps. However, California has stepped in with new rules as AI grows more powerful. These laws protect your privacy, safety, and ability to tell what is real. Here are the verified AI laws taking effect in 2026 and how they change your digital interactions.

1. SB 243: Safety Rules for AI Companions

AI companions are becoming common among teens and young adults. SB 243 creates the first major guardrails for these emotionally interactive bots. The law requires AI companions to intervene with safety resources if a user expresses self-harm thoughts. They must block sexually explicit content for minors. Additionally, they must remind minors every three hours that they are talking to an AI. This bill targets the risks of emotional manipulation.

2. AB 489: No More Fake Doctor AI Claims

Some AI tools have blurred the line between medical information and advice. AB 489 makes that distinction clear. AI systems cannot use titles like doctor, nurse, or therapist. They cannot imply they hold a medical license. Furthermore, they cannot present themselves as providing clinical care. This law ensures a “Dr.” in a chat window is a real human.

3. SB 896: Accountability in Government and Politics

Deepfakes and synthetic content pose risks to public trust. SB 896 requires state agencies to clearly disclose when they use AI to communicate with you. It ensures you know when a government update or notification is machine-generated. This law also addresses political accountability. It mandates disclaimers for AI-generated campaign materials so voters can distinguish between authentic and synthetic messages.

4. AB 621: Protection Against Deepfake Abuse

Sexual deepfakes are a growing weapon of harassment. AB 621 strengthens legal protections against non-consensual, sexually explicit AI content. It broadens the definition of digital sexual abuse. It also clarifies that minors cannot consent to the creation of such material. The law increases statutory damages up to $250,000. This gives victims meaningful legal recourse against those who create or distribute these harmful images.

5. AB 2013: Mandatory Dataset Transparency

You have the right to know what an AI model learned from. AB 2013 requires developers to publicly disclose the datasets used to train their generative AI systems. Companies must post high-level summaries of their data sources. This allows you to see if a model uses copyrighted works, personal data, or public records. It transforms the black box of AI into something you can examine.

6. AB 316: Liability for AI Harms

Companies can no longer blame the algorithm when things go wrong. AB 316 prohibits defendants in civil lawsuits from claiming that an AI system “autonomously” caused harm to avoid liability. This closes a legal loophole. It ensures that developers and deployers remain responsible for the damage their technology causes. It guarantees that human accountability remains central even as machines make decisions.

7. AB 325: Fair Pricing and Antitrust

Algorithmic pricing can unfairly manipulate what you pay. AB 325 updates antitrust laws to ban the use of “common pricing algorithms” that coordinate prices among competitors. It prohibits companies from using shared data to stabilize or inflate costs artificially. This law protects you from hidden digital cartels. It ensures that the price you see is the result of fair competition, not algorithmic collusion.

A New Era of Digital Accountability

California’s 2026 AI laws mark a turning point. The state is establishing clear protections instead of letting tech companies set the rules. These protections cover minors, consumers, voters, and performers. You now have more transparency, rights, and control over how AI interacts with your life.

What to Read Next…

The post 7 California AI Laws Changing How You Interact With Chatbots in 2026 appeared first on Budget and the Bees.

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