Impact Assessment
A systematic, documented review (ex‑ante or ongoing) of how an AI system may affect individuals, groups, organisations or society and measures to mitigate harms.
How the laws define this
Regulators consistently define an impact assessment as a structured evaluation that identifies, analyzes, and documents the potential risks and harms of an artificial intelligence system—including bias, discrimination, privacy concerns, and safety issues—and outlines actionable mitigation measures. The principal divergence concerns the operational timing and lifecycle of this evaluation. Regulatory framework proposals such as Senate Expediente 1747/23, the AI Technology Action Plan 2026–2030, and the National Artificial Intelligence Strategy 2021–2026 define impact assessments strictly as pre-deployment or ex-ante evaluations conducted prior to system implementation. In contrast, provisions in the Algorithmic Accountability Act, Connecticut AI Impact Assessment Requirements, and Resolución 4/2025 establish impact assessments as continuous, ongoing processes that evaluate systems across development, deployment, monitoring, service delivery, and remediation stages.
Synthesised from the 11 statutory definitions below. Each one is quoted in full, with its source.
How jurisdictions differ
What is distinctive in each definition, binding law in force first. Showing 10 of the 11 instruments that define this term; all are listed under Definitions below.
| Jurisdiction | Instrument | Status | What is distinctive |
|---|---|---|---|
| Connecticut, United States | Connecticut AI Impact Assessment Requirements | In Force | Limits assessments to state agencies, mandates them prior to implementation and ongoing to prevent unlawful discrimination or disparate impact based on differentiating characteristics. |
| Argentina | Resolution 4/2025 - Guidelines for the Use of Generative Artificial Intelligence in the Public Administration of the Province of Buenos Aires | In Force | Narrowly applies to generative AI systems in public administration, emphasizing continuous review for efficiency, service delivery, ethics, and bias prevention. |
| Malaysia | National AI Action Plan 2026-2030 | In Force | Specifies quantitative and qualitative analysis prior to deployment for priority public sector and high-risk systems, including residual risk and monitoring/redress plans. |
| Indonesia | Draft Presidential Regulation on Artificial Intelligence | Draft | Requires documentation for higher-risk systems to support conformity assessment, registration, monitoring, and regulatory oversight beyond just mitigation. |
| United States | Algorithmic Accountability Act (H.R. 5628, House version) | Withdrawn | Covers full lifecycle stages including development, validation, monitoring, remediation, with baseline comparisons, data provenance, stakeholder consultation, and infeasible elements. |
| Mexico | Toward an AI Strategy in Mexico: Harnessing the AI Revolution | Adopted | Provides evaluation templates for public-sector deployments, incorporating appeals mechanisms for citizens alongside privacy, bias, fairness, and administrative impacts. |
| Washington, United States | Concerning algorithmic discrimination | Withdrawn | Focuses on structured evaluation of positive and negative effects, especially discriminatory impacts, covering data sources, model design, deployment, and mitigation. |
| Peru | National Artificial Intelligence Strategy — Working Document for Citizen Participation 2021–2026 | Draft | Emphasizes ex-ante process for higher-risk public deployments to propose mitigations specifically for rights-related harms and negative impacts. |
| Argentina | Disposition 2/2023 – "Recommendations for a Trustworthy Artificial Intelligence" | In Force | Positions assessments as prerequisite for high-risk public-sector applications, informing design, procurement, deployment, and monitoring plans. |
| United States | Algorithmic Accountability Act (S. 2892, Senate version) | Withdrawn | Mandates machine-readable summary reports retained for FTC and partially public, detailing datasets, performance metrics, differential impacts, and consumer rights pathways. |
What it triggers
- In Connecticut, state agencies must conduct impact assessments prior to implementing AI systems and on an ongoing basis.source
- Under Disposition 2/2023, public sector entities frame impact assessments as prerequisite for high-risk or sensitive applications.source
- The National AI Action Plan 2026-2030 describes impact assessments for priority public sector deployments and high-risk systems.source
Definitions (11)
A focused assessment that analyzes the potential downstream effects of an AI system on rights, equity, privacy and public values, producing documented findings and mitigation measures to inform design, procurement and deployment decisions. The instrument frames impact assessments as a prerequisite for high-risk or sensitive public-sector applications and for informing monitoring plans.
A structured pre-deployment evaluation that examines risks including bias, discrimination, privacy, security and safety issues associated with an AI system; required to be submitted to the authority for systems above predefined risk thresholds and used to inform authorization, mitigation, and monitoring decisions.
A documented quantitative and qualitative analysis performed prior to deployment that identifies risks posed by an AI system, evaluates mitigation measures, and records residual risk and plans for monitoring and redress. The Plan requires Impact Assessments (e.g., AI Impact Assessment) for priority public sector deployments and high‑risk systems.
An ongoing study and documentation process that evaluates an automated decision system across development, validation, deployment, monitoring, and remediation stages, including baseline comparisons, data provenance, testing/validation metrics, stakeholder consultation, mitigation plans, and records of infeasible assessment elements.
An ongoing study and documentation that describes a system's decision purpose, datasets and provenance, training/labeling practices, technical and business performance metrics, benchmarking and test procedures, evaluations of differential performance across demographic and protected categories, stakeholder consultation, security and privacy protections, remediation plans, and consumer rights pathways. Covered entities must create, retain, and make machine-readable summary reports derived from these assessments available to the FTC and, in limited form, to the public repository.
A documented assessment required for higher-risk AI systems that identifies and analyzes risks to privacy, safety, non-discrimination and socio-economic outcomes, outlines mitigation measures, and supports conformity assessment, registration, monitoring and regulatory oversight.
A systematic evaluation tool (including templates) for public-sector AI deployments to identify privacy, bias, fairness and administrative impacts, along with mitigation measures, transparency requirements and appeals mechanisms for affected citizens.
A structured ex-ante evaluation process to identify, analyze and propose mitigation for potential negative impacts and risks (including rights-related harms) associated with AI systems, especially for higher-risk public deployments.
A mandatory evaluation conducted by state agencies prior to implementing an AI system, and on an ongoing basis, to ensure the system will not result in any unlawful discrimination or disparate impact against individuals or groups based on actual or perceived differentiating characteristics.
An impact assessment, in the context of algorithmic systems, is a structured evaluation conducted to identify and analyze the potential positive and negative effects, particularly discriminatory impacts, that an algorithm or AI system might have on individuals or groups. It typically involves evaluating data sources, model design, deployment context, and mitigation strategies to ensure fairness and prevent harm.
A continuous process of reviewing and understanding the consequences of deploying generative AI systems, focusing on administrative efficiency, service delivery, ethical considerations, and the prevention of unintended biases or discriminatory outcomes.
Not to be confused with
Algorithmic Impact Assessment emphasizes social, legal, and technical impacts before and during use, while Impact Assessment often focuses on rights, discrimination, and mitigation in specific regulatory contexts.
Fundamental Rights Impact Assessment specifically evaluates impacts on human rights before deployment, whereas Impact Assessment covers broader effects like discrimination, privacy, and society.
Questions and answers
What triggers an AI impact assessment in Connecticut?
State agencies must perform evaluations prior to implementing an AI system and ongoing to prevent discrimination. This applies to ensure no unlawful disparate impact.
Do AI impact assessments apply only to high-risk systems?
Several definitions require them for high-risk or sensitive systems, such as in Argentina's Disposition 2/2023, Indonesia's draft, and Malaysia's Plan. Others like Connecticut apply more broadly to agency systems.
What documentation is needed for impact assessments?
Documentation includes risk analysis, mitigation measures, performance metrics, and monitoring plans, with some like the Senate version requiring machine-readable summaries for regulators.
Related Terms
Fundamental Rights Impact Assessment
Evaluation of AI system's potential impact on human rights before deployment....
Algorithmic Impact Assessment
A structured, documented process that identifies and evaluates the potential social, legal, and technical impacts of an algorithmic/AI system before and during its use....
Risk assessment
Procedure to identify and mitigate social, ethical and legal risks....
Post-Market Monitoring
Ongoing surveillance of AI system performance after deployment in the market....