CHAPTER 10 CONSUMER PROTECTION

Chapter Objectives List the responsibilities and consumer protection authority of the Federal Trade Commission, the Consumer Product Safety Commission, the Environmental Protection Agency, the U.S. Department of Agriculture, and the U.S. Postal Inspection Service. Discuss the functions of Patient Safety Organizations and the reasons for their establishment. Discuss consumer protection services provided by state and local governments.

Chapter Objectives Explain the purposes and consumer protections services offered by the Better Business Bureau, Consumer Federation of America, Consumer Union, AARP, National Consumer League, National Consumer Protection Technical Resource Center, and Public Citizen. Explain accreditation and certification. Describe the functions of accreditation organizations and the reasons organizations want them.

General Federal and state laws give governments legal mechanisms to protect consumers and punish those who violate those laws. The law gives consumers the right to seek a remedy when they have been treated unfairly by a merchant or advertiser. State regulatory agencies and professional associations may discipline health care providers who fail to render proper and respectful care to patients.

General Nongovernmental agencies offer protective services and provide information for consumers so that they can guard their health and financial welfare. Some agencies provide accreditation and certification to facilities and organizations that perform health services.

U.S. Federal Trade Commission Regulates advertisement. Coordinates with federal and international law enforcement agencies that share authority over health and safety products and services. Enforces the Children’s Online Privacy Protection Act.

U.S. Consumer Product Safety Commission Reduces risk of injuries and deaths associated with over 15,000 consumer products by: Developing voluntary standards with industry Issuing and enforcing mandatory standards or banning products if no standard would be adequate Recalling or arranging repair of products Conducting research on potential hazards Informing and educating consumers

U.S. Food and Drug Administration Assures the safety, efficacy, and security of drugs, biological products, medical devices, the food supply, cosmetics, and products that emit radiation. Does not regulate advertising, alcohol, drugs without medical uses, health insurance, pesticides, restaurants, or drinking water other than bottled. Requires certain information on food and drug labels. Responds to reports of problems in the food supply. Has authority to regulate tobacco products.

Examples of FDA Responsibilities Maintains safety of the blood supply Promotes safety and labeling of cosmetics. Approves new drugs. Sets and enforces food label standards. Tracts reports of medical device malfunctions. Establishes and enforces safety performance standards for electronic products. Sets and enforces standards for veterinary products.

Patient Safety Organizations Goal: to improve patient safety by encouraging voluntary reporting of events that adversely affect patients. Collect and analyze confidential information reported by health care providers. May be public or private, profit or not-for-profit.

U.S. Environmental Protection Agency Mission: to protect human health and to safeguard the natural environment – air, water, and land – upon which life depends. Administers a wide range of laws and executive orders, for example: Safe Drinking Water Act Parts of the Federal Food, Drug, and Cosmetic Act Toxic Substances Control Act

U.S. Department of Agriculture Mission: to provide leadership on food, agriculture, natural resources, and related issues based on sound public policy, the best available science, and efficient management. Provides low-income people access to food and nutrition education. Provides educational and outreach services for consumers and educators. Provides mechanisms to report problems with food. Insures that the commercial supply of meat, poultry, and egg products is safe and properly labeled.

U.S. Postal Inspection Service Provides assurance for the safe exchange of funds. Provides assurance of the “sanctity of the seal” in transmitting correspondence. Provides assurance of a safe work environment for postal employees. Enforces more than 200 federal laws. Works with other law enforcement agencies to investigate crime and prepare cases. Investigating mail fraud is a primary function.

State and Local Governmental Protection Each state regulates commerce within its borders. All states have some form of consumer protection services. The office of the state Attorney General is responsible for consumer protection. Each state has laws governing unfair and deceptive acts and practices in commerce.

Examples of Consumer Protection in the States and Localities Education Licensing and regulating various professions Offering consumer complaint phone lines and websites Investigating consumer scams Enforcing consumer protection laws Inspection of food handling establishments, pools and other recreation facilities, and cosmetology and barbering establishments

Nongovernmental Protection Agencies Better Business Bureau Consumer Federation of America Consumers Union AARP National Consumers League The National Consumer Protection Technical Resource Center Health Research Group and Public Citizen

Accreditation and Certification Accreditation: a process that indicates that an institution meets certain predetermined criteria and that it achieves what it says it achieves. Certification: recognition that an individual, institution, or program meets certain criteria for excellence.

Accreditation and Certification Agencies Joint Commission on Accreditation of Healthcare Organizations (hospitals, rehab facilities, psychiatric centers, LTC, labs, nursing homes, etc) National Committee for Quality Assurance (HMOs and other managed care entities) URAC –Utilization Review Accreditation Commission -its accreditation validates an organizations’ commitment to quality and accountability. (HMOs, hospitals, Web sites, etc.) Community Health Accreditation Program (community based health care, suppliers of equip and hospice care) American Heart Association-recognizes institutions that treat heart attack and strokes according to specific guidelines. National Accreditation Program for Breast Centers (recognizes centers that adhere to 27 guidelines including physician credentials, diagnostic procedures, nurse ratios, etc.) Commission on Cancer (Accredits hospitasl based on adherence to 36 standards including treatments offered, evaluation, staging, improving care, patient outcomes, quality of care, etc)