If a practice uses an outsourced compliance officer, what does the OIG recommend?

Designating a liaison from the practice when using an outsourced compliance officer is recommended by the OIG to ensure effective communication and oversight between the practice and the external compliance service. This liaison plays a crucial role in maintaining a direct line of contact, facilitating the flow of information, and ensuring that the compliance initiatives align with the specific needs and operations of the practice.

Having an internal liaison helps to integrate the compliance processes into the daily operations, making it easier to address compliance issues and implement appropriate measures. This approach optimizes the relationship with the outsourced officer, ensuring that compliance strategies are not only implemented but also tailored to address the unique risks and challenges faced by the practice.

The other options do not align with the OIG’s recommendations in the context of utilizing an outsourced compliance officer. Conducting annual audits is a good practice but does not directly relate to the effective management of an outsourced compliance function. Eliminating the internal compliance officer may create gaps in oversight, leading to potential compliance risks. Increasing insurance coverage, while important in risk management, does not address the strategic necessity of maintaining ongoing compliance oversight and governance in conjunction with outsourced services.