April 21, 2015

By: Rachel Wisotsky

Which Federal Agency Should Regulate Health Apps?

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Mobile health applications are subject to the regulatory authority of several federal agencies. Due to the rapidly evolving nature of the industry, and the limits of each agency’s regulatory authority, it remains unclear which agency will offer the most comprehensive oversight over privacy and security risks. Three agencies that play a role in the regulation of health apps are The Department of Health and Human Services (HHS), The Food and Drug Administration (FDA), and The Federal Trade Commission (FTC).

The HHS

The HHS, which monitors HIPAA violations, will have a crucial role in regulating health apps used by health care providers. However, the HIPAA privacy rule only applies to “covered entities”, which does not include consumers who use private health apps outside of a healthcare setting. The HHS lacks experience with the privacy or security risks of consumer-facing commercial technologies.

The FDA

The FDA’s authority to regulate apps is limited to apps that qualify as a medical devices. The FDA announced it will focus its oversight on apps that are used an accessory to a regulated medical device- for example, to diagnose, treat, or prevent a disease; and to apps that transform a mobile platform into a medical device- for example, an app that turns a Smartphone into an ECG to detect heart conditions.

Further, the FDA’s regulatory authority only focuses on security protections. The FDA indicated it will only use its authority to regulate health apps that pose a risk of harm to consumers if there is a malfunction or failure. The FDA also indicated that it will not enforce regulatory requirements for low-risk apps, such as those that track heart rates, sleep patterns, or steps.

The FDA does not focus on privacy safeguards or oversee company policies about the collection, use, or disclosure of potentially sensitive health information.

The FTC

The FTC can use its authority to regulate unfair and deceptive practices to enforce security and privacy protections. Regarding privacy, patients using apps must largely rely upon company policies regarding uses of data that are offered unilaterally- in other words, accept the terms or don’t use the app. These policies may be especially unfair in the case of medical apps, since patients often do not have a choice whether to use them. The FTC also has expertise in penalizing companies for unfair design, unfair default settings, and unfair data security practices. The FTC has already successfully brought enforcement proceedings against private health apps for misconduct including: making scientifically dubious claims to treat medical conditions including melanoma and acne, and causing consumers to unwittingly share personal health information with other people.