The Senate has passed a bill which would exempt physicians from the Federal Trade Commission's Red Flags Rule, according to a Healthcare IT News report.
The FTC's Red Flags Rule, created under the Fair and Accurate Credit Transactions Act, requires businesses and organizations to develop and implement written identity theft programs to aid in fraud prevention. On Nov. 30 the Senate passed the Red Flag Program Clarification Act of 2010, which states small businesses such as physicians' offices "are not classified as creditors because they do not offer or maintain accounts that pose a risk of identity theft," according to the report. The bill would clarify the definition of a "creditor" to include only entities that that use consumer reports, furnish information to consumer reporting agencies, or to
Various organizations, including the National Community Pharmacists Associations, have expressed approval of the exemption, while others, such as the World Privacy Forum, have expressed disapproval. "I don't see a good reason for physician to not want to do this. It ultimately helps both patients and physicians, by protecting both parties," said Pam Dixon, founder of the World Privacy Forum.
Read the Healthcare IT News report about Red Flag Program Clarification Act of 2010.
Read other coverage about the FTC Red Flags Rule.
- Health Organizations Call on FTC to Exclude Healthcare Professionals From Red Flags Rule
- FTC Extends Enforcement Deadline for Red Flags Rule to June 2010
The FTC's Red Flags Rule, created under the Fair and Accurate Credit Transactions Act, requires businesses and organizations to develop and implement written identity theft programs to aid in fraud prevention. On Nov. 30 the Senate passed the Red Flag Program Clarification Act of 2010, which states small businesses such as physicians' offices "are not classified as creditors because they do not offer or maintain accounts that pose a risk of identity theft," according to the report. The bill would clarify the definition of a "creditor" to include only entities that that use consumer reports, furnish information to consumer reporting agencies, or to
Various organizations, including the National Community Pharmacists Associations, have expressed approval of the exemption, while others, such as the World Privacy Forum, have expressed disapproval. "I don't see a good reason for physician to not want to do this. It ultimately helps both patients and physicians, by protecting both parties," said Pam Dixon, founder of the World Privacy Forum.
Read the Healthcare IT News report about Red Flag Program Clarification Act of 2010.
Read other coverage about the FTC Red Flags Rule.
- Health Organizations Call on FTC to Exclude Healthcare Professionals From Red Flags Rule
- FTC Extends Enforcement Deadline for Red Flags Rule to June 2010