Optometry Coding & Billing Alert

Published on Thu Oct 08, 2009 PDF

You now have until June 1, 2010, to comply with FTC rules.

Right on the heels of earlier news that Nov. 1 was the drop-dead date for the Federal Trade Commission's Red Flags Rule, the agency decided to offer a lastminute extension, now making June 1, 2010, the date by which your Red Flags program must be in place.

"At the request of Members of Congress, the Federal Trade Commission [FTC] is delaying enforcement of the 'Red Flags' Rule until June 1, 2010, for financial institutions and creditors subject to enforcement by the FTC," an FTC press release announced.

This means that you'll have an additional seven months to institute your plan.

According to the release, June 1 is when the Federal Trade Commission will begin enforcing its  "Red Flags Rule" for ensuring that businesses crack down on identity theft. Under the Red Flags Rule,

"certain businesses and organizations -- including many doctor's offices, hospitals, and other health care providers -- are required to spot and heed the red flags that often can be the telltale signs of identity theft," according to an article on the Federal Trade Commission's Web site. "To comply with the new Red Flags Rule ... you may need to develop a written 'red flags program' to prevent, detect, and minimize the damage from identity theft."

Get your program in place: For tips on how to get your own Red Flags program in gear, check out "Think Red Flags Rule Doesn't Affect You? Think Again" in the Optometry Coding & Billing Alert, Vol. 7, No. 4. For more on the Red Flags Rule extension, visit www.ftc.gov/opa/2009/10/redflags.shtm.