The future of CMS & TPMO data-sharing consent

Our recent webinar, “The compliance blueprint: Preparing for TCPA and CMS updates in the digital age,” featured a deep dive into the evolving regulatory landscape of the Telephone Consumer Protection Act (TCPA) and the Centers for Medicare & Medicaid Services (CMS) regulations. 

Hosted by ActiveProspect’s Director of Professional Services, Michael Peronto, and Director of Privacy, Security, and Compliance, Benjamin Farrar, the session featured key insights from guest panelist, Mel Marsh, Sr. Director of Marketing Strategy, Revenue Drivers, & CX at Guided Solutions. This informative discussion was tailored to help businesses in the insurance vertical effectively navigate the intersection of these critical compliance challenges.

Key insights and takeaways

Understanding the regulatory landscape

The webinar kicked off with Benjamin Farrar once again providing a timeline and detailed overview of the upcoming regulatory changes. 

He emphasized the importance of understanding the FCC’s TCPA 1-to-1 consent rules, which now also require express written consent for the use of AI-generated voice in calls, as well as the upcoming January 27, 2025, TCPA update that reinforces these consent requirements.

Farrar highlighted all of the key deadlines and updates, before focusing on the October 1, 2024, deadline for CMS 1:1 consent, which will increase regulation on third-party marketing organizations (TPMOs).

“[CMS] sets data sharing limitations and requires TPMOs to obtain beneficiary prior express written consent before sharing personal data with other TPMOs,” Farrar noted. 

“The CMS update, cited, interestingly, the FCC TCPA 1-to-1 direction on consent, a movement from not sharing one transaction to many different parties, moves to more of a 1-to-1 identifiable consent transaction for parties downstream.” 

This update emphasizes the importance of updating notice and opt-in language to include these disclosures. The alignment of CMS and TCPA rules highlights a broader industry shift toward greater transparency and consumer data sharing limitations, making it imperative for companies to adapt their practices accordingly. 

The importance of digital solutions

Mel Marsh echoed Farrar’s sentiments and highlighted how platforms like Guided Solutions can enable agents to efficiently collect and store consent, significantly reducing the risk of non-compliance.

“Agents who have traditionally relied on paper forms must recognize that the landscape is changing,” Mel emphasized. “Digital tools not only simplify compliance but also offer protection for both agents and their clients.”

Marsh further clarified the importance of collecting explicit opt-ins across all communication channels: “In terms of marketing preferences, just because a client says ‘yes’ in one area doesn’t mean you can apply that consent universally. You need to gather explicit opt-ins for each channel you plan to use.”

She concluded by stressing the necessity of integrating both CMS and TCPA consent requirements: “We’ve combined the CMS consent to contact with TCPA requirements because both are essential. Agents need to understand that compliance goes beyond just CMS—they must also adhere to TCPA regulations.”

Building consumer trust

Consumer trust is an invaluable resource in the insurance vertical. One of the significant challenges discussed in obtaining that trust was the difficulty in educating agents, especially those who are not as familiar with digital tools or the importance of TCPA compliance. 

Marsh shared insights into how Guided Solutions addresses these challenges by providing ongoing education, regular updates, and webinars to keep agents informed and compliant.

“We interpret the rules and provide them to our agents in a digestible format,” Marsh said. “We also offer various touchpoints, such as webinars and bulletins, to ensure the information is accessible and easy to understand.”

Marsh also highlighted the importance of gathering consumer reviews as part of a broader compliance strategy. “Reviews are crucial for building trust with potential clients,” Marsh explained. “They provide a confidence factor that the agent they are about to contact is credible and trustworthy.”

To maintain a culture of credibility and build consumer trust, it’s essential to implement a top-down compliance approach throughout the organization.

Adapting compliant operational strategies

Michael Peronto discussed the operational challenges of adapting an organization to the new regulations. Similar to Marsh, he also underscored the need for continuous education, and the integration of compliance tools within CRM systems.

“It’s essential not only to understand the new rules but to effectively operationalize them across your organization,” Peronto stated. “This requires aligning all departments and embedding compliance into your processes from the ground up.”

Peronto’s insights emphasize the critical importance of proactive adaptation in an ever-evolving regulatory environment. By fostering a culture of continuous learning and ensuring that compliance is an integral part of every department’s operations, organizations can not only meet regulatory requirements but also build a permanent foundation of trust and reliability with their clients and partners. 

Emerging trends and best practices

Looking ahead, Peronto, Marsh, and Farrar emphasized that the trend toward tighter regulations, particularly around consumer privacy and data sharing, is only going to intensify. Farrar urged businesses to take proactive steps now by reviewing and refining their consent processes to align them with both current and forthcoming regulations.

“Capture that consent and store it securely,” Farrar advised. “Leverage tools like ActiveProspect’s TrustedForm to document consent transactions, so you’re prepared for any audits or inquiries.”

TrustedForm is the ultimate compliance solution for documenting TCPA consent on digital lead capture forms. It reduces compliance risk by documenting proof of TCPA consent and validates that your certified contacts have requested communication.

Use TrustedForm Certify to generate a certificate of lead authenticity that shows exactly when and where consent to contact was obtained. Then use TrustedForm Retain to store that certificate for 5 years so that you can access it in case you need it to mitigate TCPA litigation.

See the power of TrustedForm now.

Final thoughts

As the regulatory landscape for TCPA and CMS rules continues to evolve, the imperative for businesses to adapt and prioritize compliance cannot be overstated. The insights shared during our recent webinar underscore the critical need for organizations, particularly in the insurance vertical, to stay ahead of these changes by integrating robust compliance strategies into their operations.

The convergence of CMS and TCPA regulations signals a broader industry shift towards heightened transparency and consumer protection. Businesses must not only understand these changes but also implement them effectively across all levels of their operations. This requires more than just knowledge; it demands action—updating consent processes, investing in digital tools, and fostering a culture of continuous learning and compliance.

The future of CMS TPMO data-sharing consent is rapidly approaching, and with it comes a new era of consumer privacy and data security. By embracing these changes and leveraging solutions like ActiveProspect’s TrustedForm, businesses can not only mitigate risks but also build lasting trust with their clients. The path forward is clear: proactive adaptation, continuous education, and a steadfast commitment to compliance will be the keys to thriving in this new regulatory environment.

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