Introduction to FTC Red Flag Rule.
Hello Folks today I would like to get you some insights about a very identical rule and regulation to HIPAA.
Federal Trade Commission”s Red Flag Rule.
Red Flag Rule consist of Identity theft prevention program that aims to detect, prevent and mitigate identity theft covering existing or new accounts. The program must be appropriate to the size and complexity of the creditor and the nature and scope of its activities. Identity theft takes place when someone uses another’s personal identifying information to commit fraud or crimes.
How Red Flag Rules differ from HIPAA privacy and security rules?
Protected Health Information as defined by HIPAA is covered by Red Flag Rules, but the Rule extends to other information:
- Insurance Claim Information
- Credit Card Details
- Tax Identification numbers
- Background checks for employees and service providers.
So you see there is a thin line difference between the two and thus I hope this rule would be in implementation soon that would in return prevent Information theft.