THE REGULATORY EXPOSURE
Regulations such as HIPAA, GDPR, and the EU AI Act require real-time policy enforcement to prevent non-compliant AI interactions. Without this, organizations face fines, lawsuits, and reputational damage. For example:
- HIPAA: $1.5M maximum annual criminal penalty per violation category for unauthorized PHI access.
- GDPR: €20M or 4% of global annual turnover for non-compliant data processing.
- EU AI Act: €35M or 7% of global annual turnover for high-risk AI systems lacking real-time controls.
STRUCTURAL REQUIREMENTS
Real-time policy enforcement must include:
- Pre-Inference Evaluation: AI systems must evaluate inputs and policies before processing data.
- Block Non-Compliant Actions: Systems must prevent violations (e.g., unauthorized access, bias) at inference time.
- Immutable Logging: All enforcement actions must be logged and tamper-proof.
- Cross-Jurisdictional Alignment: Policies must comply with all applicable regulations (e.g., HIPAA for US healthcare, GDPR for EU data).
COMMON FAILURE MODES
Traditional compliance methods fail due to:
- Post-Hoc Enforcement: Manual reviews cannot prevent violations before they occur.
- Lack of Automation: Human-enforced policies are error-prone and slow, leaving gaps for non-compliant actions.
- Black-Box Systems: AI models that cannot explain or enforce policies in real time violate regulatory requirements.
- Fragmented Tools: Disparate solutions for policy management and enforcement create compliance gaps.
RTFCT MECHANISM
RTFCT’s Interceptor layer provides real-time policy enforcement through:
- Pre-Inference Evaluation: All inputs are evaluated against predefined policies before processing.
- Block Non-Compliant Actions: Non-compliant interactions (e.g., unauthorized access, bias) are blocked at the API level.
- Immutable Logging: All enforcement actions are logged in Forge for audit trails.
- Cross-Jurisdictional Policies: Interceptor enforces jurisdiction-specific rules (e.g., HIPAA for US, GDPR for EU).