Compliance News Update

FTC’s New Safeguards Rule Compliance Deadline Extended

The FTC’s Standards for Safeguarding Customer Information, the Safeguards Rule for short, requires covered entities to develop, implement and maintain an information security program with administrative, technical and physical safeguards designed to protect customer information. While the rule was set to go into effect December 9, 2022, the FTC has extended the compliance deadline to June 9, 2023. Our Compliance and Information Security Teams have been diligently working to update our internal policies and procedures to ensure compliance with the new rule and continue our commitment to protecting our consumers’, clients’ and employees’ private information.

Reminder: Medical Debt Credit Reporting Changes Are Coming March 30, 2023

Last year, we reported on the March 2022 joint initiative from the Credit Reporting Bureaus Experian, TransUnion and Equifax that significantly change credit reporting standards and rules regarding all Medical Debt Collection Data.

On July 1, 2022, two of the announced changes went into effect:

• Medical debt that was paid after it was sent to collections is no longer included in consumer credit reports
• The time period before unpaid medical debt can appear on a consumer’s credit report was increased from six months to one year

EFFECTIVE MARCH 30, 2023: Medical debt collection accounts under a pre-defined minimum threshold (at least $500) will no longer be included on consumer credit reports.

For more information, please contact Jill Cloys, Meduit Director of Compliance, at Jill.Cloys@meduitrcm.com or call 317.284.6480.