Recent Advances in AI for Automated ICD Coding: A Systematic Literature Review

International Classification of Diseases (ICD) codes enable correct billing, insurance reimbursement, and healthcare analytics. However, manual coding is time-consuming, expensive, and error-prone, creating bottlenecks in clinical workflow and limiting scalability. Artificial intelligence (AI) has emerged as a promising solution for automated ICD code assignment from unstructured clinical text. This systematic review explores the current state of automated ICD coding research, examining models applied to diverse clinical documents including discharge summaries, electronic health records, nursing notes, and pathology reports. Following PRISMA guidelines, we searched six databases for studies published between 2019 and 2024, selecting 54 relevant studies from 4,280 initial citations. Our analysis reveals the use of diverse datasets, preprocessing techniques, and feature extraction methods, alongside a clear evolution from traditional machine learning to deep learning approaches, with substantial architectural diversity across convolutional, recurrent, transformer, and hybrid models. Performance varies considerably across dataset configurations, with models achieving higher accuracy on frequent code subsets compared to full label spaces. However, critical gaps persist: overreliance on single-language, single-institution datasets limits generalizability; difficulties in predicting rare codes remain unresolved; lack of model interpretability undermines clinical trust; and inconsistent evaluation protocols hinder meaningful comparison. To address these challenges, we propose a 5P evidence-grounded research agenda: Population Diversity, Performance Robustness, Prediction of Rare Codes, Provenance Transparency, and Practical Integration. These findings underscore AI's potential to transform ICD coding while highlighting the need for standardized benchmarks, rigorous external validation, multilingual datasets, and explainable architectures to enable equitable and effective deployment in real-world healthcare systems.