Remember the Red Flags Rule, a rule under which the Federal Trade Commission considered physicians as creditors subject to identity theft prevention regulations?
A new law, the Red Flag Program Clarification Act of 2010 (PDF), limits the definition of “creditor” under the rule — and now physicians no longer fall under the Red Flags Rule requirements. Under the new law, physicians are exempt by definition. Physicians are longer be classified as “creditors” for the purposes of the Red Flags Rule just because they do not receive payment in full at the time that they provide their services.
Medical identity theft poses a risk to any medical practice, whether it falls under the Red Flags Rule or not. FTC offers these FAQs for physicians and health care providers.
Published: March 3, 2011. Revised April 1, 2011
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Last Updated On
May 30, 2019