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Building AI Systems in Healthcare Where Hallucinations Are Not an Option

Spluk.ph by Spluk.ph
July 27, 2025
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Building AI Systems in Healthcare Where Hallucinations Are Not an Option
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Dr. Venkat Srinivasan, Ph.D, Founder & Chair at Gyan AI

As a technologist and entrepreneur who has spent a long time architecting enterprise-grade AI programs throughout extremely regulated industries, I’ve seen firsthand the chasm between AI’s promise and its sensible dangers, particularly in domains like healthcare, the place belief isn’t non-compulsory and the margin for error is razor-thin. Nowhere is the price of a hallucinated reply larger than at a affected person’s bedside. 

When an AI system confidently presents false data—whether or not in scientific resolution help, documentation, or diagnostics—the implications may be quick and irreversible. As AI turns into extra embedded in care supply, healthcare leaders should transfer past the hype and confront a troublesome reality: not all AI is ‘match for goal’. And until we redesign these programs from the bottom up—with verifiability, traceability, and zero-hallucination as defaults—we threat doing extra hurt than good.

Hallucinations: A Hidden Risk in Plain Sight

And but, there isn’t a doubt that Giant language fashions (LLMs) have opened new frontiers for healthcare, enabling every thing from affected person triage to administrative automation. However they arrive with an underestimated flaw: hallucinations. These are fabricated outputs—statements delivered with confidence, with no factual foundation.

The dangers will not be theoretical. In a widely cited study, ChatGPT produced convincing however fully fictitious PubMed citations on genetic situations. Stanford researchers found that even retrieval-augmented fashions like GPT-4 with web entry made unsupported scientific assertions in almost one-third of instances. The results? Misdiagnoses, incorrect remedy suggestions, or flawed documentation.

Healthcare, greater than another area, can not afford these failures. As ECRI recently noted in naming poor AI governance amongst its prime affected person security issues, unverified outputs in scientific contexts might result in harm or dying, not simply inefficiency.

Redefining the Structure of Reliable AI

Constructing AI programs for environments the place human lives are at stake calls for an architectural shift—away from generalized, probabilistic fashions and towards programs engineered for precision, provenance, and accountability.

This shift for my part rests on 5 foundational pillars:

  1. “Explainability” and Transparency

AI outputs in healthcare settings should be comprehensible not simply to engineers however to clinicians and sufferers. When a mannequin suggests a prognosis, it should additionally clarify the way it reached that conclusion, highlighting the related scientific elements or reference supplies. With out this, belief can not exist.

The FDA has repeatedly emphasized that explainability is crucial to patient-centered AI. It’s not only a compliance function—it’s a safeguard.

(b) Supply Traceability and Grounding

Each output in a scientific AI system ought to be traceable to a verified, high-integrity supply: peer-reviewed literature, licensed medical databases, or the affected person’s structured information. In programs we’ve designed, solutions are by no means generated in isolation; they’re grounded in curated, auditable data—each declare backed by a supply you’ll be able to examine. This sort of design is the best antidote to hallucinations.

(c) Privateness by Design

In healthcare, compliance isn’t an possibility, it’s a necessity. Each part of an AI system should be HIPAA-aware, with end-to-end encryption, stringent entry controls, and de-identification practices baked in. That is why leaders should demand extra than simply privateness insurance policies—they want provable, system-level safeguards that stand as much as regulatory scrutiny.

(d) Auditability and Steady Validation

AI fashions should log each enter and output, each model change, and each downstream affect. Simply as scientific labs are audited, so too ought to AI instruments be monitored for accuracy drift, adversarial occasions, or sudden outcomes. This isn’t nearly defending selections—it’s additionally about enhancing them over time.

(e) Human Oversight and Organizational Governance

No AI ought to be deployed in a vacuum. Multidisciplinary oversight—combining scientific, technical, authorized, and operational management—is crucial. This isn’t about forms; it’s about accountable governance. Establishments ought to formalize approval workflows, set thresholds for human overview, and repeatedly consider AI’s real-world efficiency.

An Govt Framework for Accountable AI Adoption

For healthcare executives, the trail ahead with AI fashions ought to start with questions. This could embody, Is that this mannequin explainable, and to which practitioners or viewers? Can each output be tied to a trusted, inspectable supply? Does it meet HIPAA and broader moral requirements for knowledge use? Can its conduct be audited, interrogated, and improved over time? Who’s liable for its selections, and who’s accountable when it fails?

These questions must also be embedded into procurement frameworks, vendor assessments, and inner deployment protocols. Stakeholders within the healthcare ecosystem can begin with low-risk purposes, like administrative documentation or affected person engagement, however design with future scientific use in thoughts. They need to insist on options which might be deliberately designed for zero hallucination, moderately than retrofitted for it.

And most significantly, any AI integration ought to contain investments in clinician training and involvement. AI that operates with out scientific context isn’t solely ineffective—it’s harmful.

From Risk to Precision

It’s clear to me that the age of ‘speculative AI’ in healthcare is ending. What comes subsequent should be outlined by rigor, restraint, and accountability. We don’t want extra instruments that impress—we want accountable programs that may be trusted.

Enterprises in healthcare ought to reject fashions that deal with hallucination as an appropriate facet impact. As an alternative, they need to look to programs purpose-built for high-stakes environments, the place each output is explainable, each reply traceable, and each design alternative made with the affected person in thoughts.

In abstract, if the price of being unsuitable is excessive, because it actually is in healthcare programs, your AI system ought to by no means be a trigger or cause.


About Dr. Venkat Srinivasan, Ph.D

Dr. Venkat Srinivasan, PhD, is Founder & Chair of Gyan AI and a technologist with a long time of expertise in enterprise AI and healthcare. Gyan is a essentially new AI structure constructed for Enterprises with low or zero tolerance for hallucinations, IP dangers, or energy-hungry fashions. The place belief, precision, and accountability are essential, Gyan ensures each perception is explainable, traceable to dependable sources, with full knowledge privateness at its core. 



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