Health Information Management

Red Flags Rule: Comply now, avoid lawsuit later

HIM-HIPAA Insider, June 5, 2009

The scenario is far too familiar: Patient gets a call from a hospital about a bill. Patient says he or she never went to the hospital. Hospital says he or she did.

Now you've got a case of healthcare identity theft—and maybe a class action lawsuit.

Compliance with the Federal Trade Commission's new Red Flags Rule is critical for healthcare organizations—regardless whether the FTC postponed its enforcement date to August 1.

The compliance date is actually November 1, 2008. That hasn't changed.

Sai Huda, chairman and CEO of Compliance Coach, a San Diego software company that specializes in automated regulatory compliance solutions, says bluntly of the FTC's enforcement delay: "So what? Anyone who is out of compliance is out of compliance."

Read the full story by HealthLeaders Media’s Dom Nicastro.

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