Health Care Professionals

Health Care Professionals Medical & Dental Services

Does your Practice have to comply?

Medical and dental providers would be included in this definition if they accept payment for services or supplies at a later date, after the services have been rendered or if they accept insurance but hold the patient ultimately responsible. Because many industries were unaware that they were included in the FTC's new Red Flags Rule the FTC granted a six-month delay of enforcement up to May 1, 2009. They have since granted an additional 90 days to allow time for all "creditors" to implement their fully compliant Red Flags Identity Theft Prevention Program. Now your mandatory compliance deadline is May 1, 2009 August 1, 2009.

The Federal Trade Commission's (FTC) Red Flags Regulation defines a creditor as "an entity that regularly extends, renews, continues credit or arranges for the extension of credit." The FTC considers that any health care practice that does not require payment in full for services or supplies at the time of service "extends credit". For more details click here. Please allow a moment for it to open. To read the Final Rules in their entirety click here.

Click any of the blue text below to learn more specificially about the Red Flags Program in relation to the Medical and Healthcare Industry.

HIPAA Compliance Does Not Equal Red Flags Compliance		Medical Brochure
FAQs for the Medical Industry		Medical FACTSheet
Just Writing Policies Does Not Make Your Practice Red Flags Compliant		Truth Be Told Stories
		Facts & Figures


		The American Medical Association along with the 26 organizations, noted below, wanted clarification: Are physicians “creditors” under the new Federal Trade Commissions’ (FTC) Red Flags Rules? As such they wrote to the Honorable William E. Kovacic, Chairman, asking for clarification. The FTC ruled that doctors and other health providers are creditors if they answer one or more of the four questions below.

As a Health Services Provider,
You Need to Answer the Following Questions

1. Do you defer payments from patients for goods or services?

2. Do you allow patients to pay using multiple transactions or payments?

3. Do you accept insurance where the consumer is ultimately responsible for the medical fees?

4. Do you run, authorize or use background and/or credit checks on either potential or hired
***employees?

5. Does your Practice make "loans" to any of your practitioners or employees?

6. Does your Practice deal with consumer credit and other personal information?

7. Do you carry accounts with a reasonable foreseeable risk of identity theft?

8. Has your Practice experienced a database breach in the past?

9. Has your Practice been involved with previous identity theft?

If You Answered Yes to Any of the Above Questions,
You MUST comply with the Red Flags Rule!
Your Deadline to do so was May 1, 2009
is now Saturday, August 1, 2009

Why? Because the Rule applies to you as a "creditor" who defers payment for goods or services from a consumer.

past due

Any doctor's office or practice that defers payments for health goods or services is considered a "creditor" under the Rule.

Also, if you offer relocation loans to your doctors or nurses or other employee loans, it means your Practice is considered a "creditor" under the Federal Trade Commission's (FTC) Red Flags Rule.

Click here to read the FTC's notice specifically speaking to health care services providers and necessary compliance with the 'Red Flags' Rule' at http://www.ftc.gov/bcp/edu/pubs/articles/art11.shtm

These are the 26 organizations plus the American Medical Association that sought clarity from the FTC and found out that they, as well as other healthcare professionals and medical services providers, must comply with the FTC Red Flag Rules if they defer payments or set up medical payment plans. Read the entire reponse letter from the FTC.

American Academy of Dermatology Assoc
American Academy of Facial Plastic and Reconstructive Surgery
American Academy of Family Physicians
American Academy of Neurology Professional Association
American Academy of Ophthalmology
American Academy of Otolaryngology-Head and Neck Surgery
American Academy of Pediatrics
American Association of Neurological Surgeons
American College of Emergency Physicians
American College of Gastroenterology
American College of Obstetricians and Gynecologists
American College of Osteopathic Surgeons
American College of Physicians

American College of Radiation Oncology
American College of Surgeons

American Gastroenterological Association

American Medical Association
American Osteopathic Academy of Orthopedics
American Psychiatric Association
American Society for Gastrointestinal Endoscopy
American Society for Reproductive Medicine
American Society of Cataract and Refractive Surgery
American Society of Plastic Surgeons
Congress of Neurological Surgeons
Joint Council of Allergy, Asthma and Immunology
Medical Group Management Association
Society of Interventional Radiology