OIG Check: A Must-Have Step for Smart Vendor Management

Author : Exclusions List OIG | Published On : 25 Mar 2026

There are almost no instances today where a business works as a standalone business. Business continues to rely upon an expansive network (known as "vendors") of partners and subcontractors in order for them to conduct their day-to-day operations. Vendors are involved in almost every organisation's daily functions, including cleaning, IT-related services, medical billing and consulting.

However, if your organisation is operating within health care or using federal funds, there is one important step that many companies do not take into account: conducting an OIG Check on every one of your vendors with Venops.

The "Office of Inspector General - Exclusion List" is a way for federal government programs to stop people from cheating and stealing. The "Exclusions List" allows the OIG to deny that person access to any federal government program designed to assist patients, including Medicare and Medicaid. Being on the Exclusion List OIG means that the person cannot bill for services provided to patients and that the patient's insurance will not reimburse for services and items billed to the patient. All of this applies even if the person was not directly treating patients or providing administrative services.

What Is An OIG Check For Vendors?

The OIG Check is simply verifying that a company's name is not listed on the Exclusions List OIG. An OIG Check is a way to make sure none of their current or potential vendors have been excluded from participating in federal programs. If they were excluded from participating in federal programs and are currently receiving federal funds, there is serious risk to the organization that is working with them or providing services to federal healthcare beneficiaries.

The Reasons Why You Should Screen Your Vendors

Some people may ask, "If my IT service or cleaning service does not deliver direct patient care, why does a vendor have to be screened?" This is a serious mistake and it is false thinking. The rules of the OIG apply to you if your organization has paid for services, items or salaries to an excluded individual or entity by use of federal funds either directly or indirectly.

There are several reasons vendor screening is vital to your organization even when they are non-healthcare vendors:

Indirectly Involved: A billing vendor handles federal funds; however, your IT vendor, who provides your network that houses patient data and federal billing, may be indirectly involved. If your cleaning service is billing you with federal funds and an employee of that cleaning service is excluded from participation, they will have created a serious liability for your organization.
Risk of Penalties Fines: If a vendor has been excluded from participation in federal fund programs and you use federal funds to pay the vendor, your organization may be subject to civil monetary penalties for payment of services. The penalties can be substantial and will begin to accumulate rapidly.
Reputation Damage: Should your organization be discovered to have engaged a vendor who is excluded, your organization will have suffered severe damage with respect to its reputation.

How to Perform an OIG Check and How Often

The OIG itself provides a searchable database online, where you can manually perform an OIG Check. However, for businesses with numerous vendors and employees, doing this manually every month is time-consuming and prone to error.

This is why many organizations opt for automated solutions or third-party services that specialize in compliance screening. These services can:

Automatically screen all your vendors against the Exclusions List OIG and other relevant state exclusion lists.
Provide regular, often monthly, reports to ensure continuous compliance.
Help you document your screening efforts, which is vital if you ever face an audit.

The OIG recommends monthly screening for all personnel and entities. This proactive approach ensures that as soon as someone appears on the Exclusions List OIG, you can take immediate action to sever ties and avoid penalties.

Conclusion

Vendor Screening is no longer an optional step for businesses that interact with federal healthcare programs. Performing a thorough and regular OIG Check on all your vendors is a fundamental part of responsible business practice and compliance. It protects your organization from financial penalties, reputational harm, and ensures you're upholding the integrity of public health programs. Don't wait for an audit to realize the importance of comprehensive Vendor Screening – make it a core part of your compliance strategy today.