Curbing the Red Flags

Lawmakers introduced a bill this week in the U.S. Senate that would exempt doctors from a new law that seeks to protect consumers from identity theft.

Lawmakers introduced a bill this week in the Senate that would exempt doctors from a new law that seeks to protect consumers from identity theft.

Sens. John Thune, R-S.D., and Mark Begich, D-Alaska, introduced the bill (S. 3416) that would curb the scope of the Federal Trade Commission's "red flags rule," which is set to take effect on June 1, reported Healthcare IT News.

The rules took effect in 2008, but FTC delayed enforcement at the request of members of Congress.

"Identity theft is a serious problem, but the FTC rules are too broad and ensnare businesses that pose little risk to consumers," Thune told the Rapid City Journal. "This legislation will help small businesses avoid the costly implementation of unnecessary measures to guard against identity theft."

The bill does not address the issue of medical identity theft, a fast-growing crime that allows perpetrators posing as unsuspecting victims to access drugs and medical care.