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HIPAA
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What is HIPAA?
The Health Insurance Portability and Accountability Act was signed into law on August 21, 1996, to amend Title XI of the Social Security Act. The Act affects the entire health care industry, including providers, indemnity payors, health plans, clearinghouses, etc.
HIPAA was enacted to satisfy several purposes:
- To improve the portability and continuity of health insurance coverage for groups and individuals
- To combat waste, fraud, and abuse in health insurance and health care delivery
- To promote the use of medical savings accounts
- To improve access to long-term care services and coverage
- To simplify the administration of health insurance
The goals of HIPAA Administrative Simplification are to:
- Improve the efficiency and effectiveness of the health care system
- Standardize the electronic data interchange of administrative transactions
- Protect the security and privacy of protected health information (both electronic and paper)
Regulations will affect all organizations in the health care system:
- Health Plans
- Health Care Clearinghouses
- Health Care Providers
- Business Associates of above
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