Smaller practices may be exempt from 'red flags'

December 4, 2009
Morgan Lewis Jr.
Morgan Lewis Jr.

Practices with 20 or fewer physicians may end up being exempted from the new "Red Flag" rule which requires physicians' practices and other businesses to spot and report identity theft.

Practices with 20 or fewer physicians may be exempt from the "Red Flags" rule, which requires physicians' practices and other businesses to spot and report identity theft, according to a bill unanimously passed in October by the U.S. House of Representatives.

Days later, the Federal Trade Commission reported that enforcement of the "Red Flags" rule would be delayed – for the fourth time in less than two years – until June 10, 2010.

The exemption bill was referred to the Senate banking committee as of press time.