Navigating AI’s Reputational Risks in Healthcare: What Communicators Must Do Now

Michael Rinaldo: 

AI implementation is accelerating faster than risk management can adapt. Without robust governance, oversight, and communications preparedness, healthcare companies face growing reputational exposure.

Artificial intelligence is reshaping healthcare with remarkable speed, enhancing drug discovery, streamlining operations, and transforming how patients engage with care. But alongside these advances comes a rising tide of reputational risk. As AI permeates clinical, operational, and communication functions, the potential for missteps grows, especially as adoption outpaces governance, oversight, and public understanding. For healthcare companies who, by nature and necessity, have built their reputation and businesses on trust, this moment demands more than technical implementation. Clear, ethical, and empathetic communication that can withstand scrutiny and foster confidence is essential.

AI has found a foothold across every corner of healthcare:
• Pharma & Biotech: Drug discovery, clinical trial optimization, HCP/patient
communication
• Devices & Diagnostics: Imaging, surgical robotics, predictive diagnostics
• Payers: Claims automation, fraud detection, prior authorizations
• Providers: EHR management, symptom checkers, clinical decision tools

In 2025, 69% of life sciences companies are reporting that they’re prioritizing digital fluency and AI training, which is up sharply from 2023, according to a Harris Poll conducted on behalf of ZS. Rapid adoption has introduced vulnerability with change moving faster than public understanding and regulatory frameworks can support. The risk for creating critical gaps in governance, oversight, and communications is real.

AI-driven patient communication carries new risk

The way healthcare companies engage with consumers has evolved dramatically over the past four decades, from print ads and TV spots to websites, social media, and now AI-enabled tools. With each innovation has come greater scrutiny and reputational risk.

AI integration raises the stakes since it touches on patient trust, data privacy, and perceptions of empathy. Missteps can spark significant backlash, not just from patients, but from regulators, advocacy groups, and the media.

The public isn’t sold on AI in healthcare

Healthcare companies are understandably bullish on AI’s potential. But the public remains cautious—and in many cases, deeply skeptical:
• 66% of U.S. adults have low trust in healthcare’s ability to use AI responsibly (JAMA Network Open, 2024)
• 88% express concern about AI’s growing role, especially around lack of human oversight (Harris Poll for Gwynedd Mercy University, 2024)
• Simply labeling a product or service as “AI-powered” can reduce consumer willingness to use it, especially in high-risk areas like healthcare (Journal of Hospitality Marketing & Management, 2024)

This trust gap is both cognitive and emotional. People may accept the logical benefits of AI while still expressing skepticism based on fear, lack of understanding, or concerns about privacy and control. Media narratives and past controversies shape this emotional trust.

The trust gap is concerning for those accountable for a company’s or brand’s reputation.

It’s not just consumers who are uneasy. Nearly half of workers (47%) believe more jobs will be lost to AI than gained, according to Indeed’s 2024 Future of Work Report. Internal mistrust can affect morale, performance, and message alignment.

Governance isn’t keeping up

While enthusiasm is high and adoption advances, readiness is low.
• Only 55% of healthcare companies have formal AI usage policies (Arnold & Porter, 2024)
• Just 51% conduct regular AI audits to assess bias, fairness, or compliance (Arnold & Porter, 2024)
• Only 14% of life sciences companies and 9% of providers have full governance frameworks for generative AI (SAS/Coleman Parkes, 2025)

These shortfalls expose companies to regulatory, ethical, and reputational risks, especially if something goes wrong.

Ethical frameworks are emerging, but are not fully adopted

Global guidance is beginning to take shape. The World Health Organization (WHO), for example, outlines six core principles for ethical AI in healthcare.
• Protecting autonomy.
• Promoting human well-being and safety.
• Ensuring transparency and explainability.
• Fostering responsibility and accountability.
• Ensuring inclusiveness and equity.
• Promoting AI that is responsive and sustainable.

Critically, WHO emphasizes that patients must understand when AI is involved in their care and how it works. Other experts are calling for stronger protections around privacy, bias mitigation, and human oversight.

But awareness isn’t enough. Organizations need systems to operationalize these principles. Communicators play a key role in translating ethics into clear, actionable messaging.

Five actions to protect reputation and build trust

Healthcare companies can’t wait for regulatory bodies to catch up. Communications leaders should take the lead by focusing on five strategic priorities.
1. Audit AI Vulnerabilities – Conduct a cross-functional risk inventory. Where is AI being used? What could go wrong? Who’s responsible?
2. Review Guidelines and Policies – Align internal governance with the latest use cases. Update regularly to match the pace of AI adoption.
3. Develop Empathetic Messaging – Reassure stakeholders that AI supports, rather than replaces, human judgment. Communicate transparently, in language tailored to each audience. Be prepared to explain how you leverage AI to external audiences. Set expectations and build public equity before an issue arises.
4. Establish Cross-Functional Planning – Ensure coordination across departments to prevent inconsistent messages or missed warning signs. Define roles and escalation pathways.
5. Train Your Communicators – Equip internal and external comms teams with the knowledge and tools to explain AI accurately, responsibly, and with confidence.

Trust is the competitive advantage

AI is rapidly transforming healthcare. But in a sector built on human connection, perception matters as much as performance. Communicating AI with empathy, clarity, and ethical conviction isn’t just a defensive play – it’s a differentiator.

Healthcare communicators now have a chance to shape the AI narrative. In doing so, we can protect reputation and help the industry realize AI’s full potential with the trust and confidence of the people it serves.

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Michael Rinaldo is a ReputAItion Rx Consultant

Written by: Editor