'Red flags' rules delayed again as Senate debates exemptions bill

Share this content:
New app lets users search nursing home deficiencies by keyword
New app lets users search nursing home deficiencies by keyword
The Federal Trade Commission has postponed the implementation date for the “red flags” rules from Nov. 1, 2009, to June 1, 2010. This marks the fourth time the FTC has had to change the date.

The U.S. House of Representatives recently passed a bill that would exempt certain healthcare facilities and other agencies from the rules, which require businesses classified as “creditors” to establish identity-theft prevention measures. The Senate has yet to act on the bill, which prompted members of the House to request the rules be delayed. The House members said it would be “both burdensome and unnecessary” to impose the rules on healthcare facilities and other businesses that would likely soon be exempt from those rules.

The legislation passed in the House and being debated in the Senate would exempt healthcare, legal and accounting practices from the rules if they employ 20 or fewer people. It also would establish guidelines for any business to obtain an exemption.