Government regulates by writing rules for you to follow. They also want you to submit a plan on how you plan to follow those rules. Then they accept (if acceptable to the government regulator) your plan. Notice I didn't say approve, part of CYA. Your plans must include self-disclosure. If something goes awry and/or you fail to disclose a…
Government regulates by writing rules for you to follow. They also want you to submit a plan on how you plan to follow those rules. Then they accept (if acceptable to the government regulator) your plan. Notice I didn't say approve, part of CYA. Your plans must include self-disclosure. If something goes awry and/or you fail to disclose any deficiency then government regulators come down with audits, fines, and perhaps criminal liability.
Basically it is already setup for self regulation. You do their work.
Government regulates by writing rules for you to follow. They also want you to submit a plan on how you plan to follow those rules. Then they accept (if acceptable to the government regulator) your plan. Notice I didn't say approve, part of CYA. Your plans must include self-disclosure. If something goes awry and/or you fail to disclose any deficiency then government regulators come down with audits, fines, and perhaps criminal liability.
Basically it is already setup for self regulation. You do their work.