Dentists exempt from Red Flags Rule
CDA is pleased to announce that dentists will be exempt from the Federal Trade Commission’s Red Flags Rule that goes into effect Jan. 1, 2011.
President Obama signed into law the Red Flag Program Clarification Act of 2010, which clarifies and narrows the definition of a “creditor” and thereby excludes dentists and other small businesses.
Under the Red Flags law, creditors and financial institutions must implement written identity theft detection and monitoring programs, designed to help business and organizations detect and respond to patterns, practices or specific activities that could indicate identity theft.
The ADA has estimated the nationwide savings in implementation and compliance costs associated with this exemption to be $72 million for dental offices alone.