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Healthcare Regulations: Compliance Is A Must

September 4, 2009 Mathew Klein

Lawmakers have a knack for regulating the business of healthcare with a host of unique laws. As a result, transactions that are customary in other industries may be blatantly illegal when attempted in healthcare. If you are doing business in healthcare, you need to stay aware of the evolving regulatory landscape.

Compliance today doesn’t mean compliance tomorrow.
On a continuing basis, new laws are passed and existing laws are modified. New guidance also is issued by the governing agencies overseeing the industry. As a result, your transactions must be monitored for continuous compliance, and possibly modified in order to remain compliant.

Even non-healthcare providers are affected by these laws.
If one party to a transaction is a healthcare provider, the transaction could implicate these laws. So even if you are not a healthcare provider, your transactions involving providers may still raise compliance issues.

Non-compliance can be costly.
Penalties for violating these laws can be steep, involving significant monetary penalties and damages. Individuals may face criminal charges carrying penalties of imprisonment and hefty fines. Violations can also result in a provider’s exclusion from further participation in the Medicare and Medicaid programs. In addition, the governing agencies have frequently made demands of significant amounts to settle what originated as innocent, accidental violations.

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