What Is HIPAA Law?

HIPAA Law: The Importance of Medical Regulations

HIPAA is the acronym for the Health Insurance Portability and Accountability Act that was passed by the congress in 1996. HIPAA law provides the ability to transfer and continue health insurance coverage for millions of American workers and their families when they change or lose their jobs. It reduces health care fraud and abuse, mandates industry-wide standards for health care information on electronic billing and other processes, and requires the protection and confidential handling of protected health information. The law gave the U.S. Department of Health and Human Services the responsibility of adopting rules to help patients and other health care consumers keep as much of their personal information private as possible.

HIPAA law protects from unauthorized disclosure of any personal-identifiable health information that pertains to a customer of health care services. The privacy rule applies to health plans, health care clearinghouses, and health care providers. It applies to employers only to the extent that they somehow operate in one or more of those capacities. The same standards apply to covered entities in both the public and private sectors.  Any health information is considered to be personally identifiable if it relates to a specifically identifiable individual; it includes the following, whether in electronic, paper, or oral format. Health care claims or health care encounter information, health care payment, health care claim status, enrollment and disenrollment in a health plan, health plan payments, reports of injuries, health care electronic fund transfers, and any other transactions that HHS may prescribe in future regulations.

There are civil penalties of $100 per violation, but the penalties can be “stacked” if there are multiple violations with respect to a single individual. The maximum civil penalties are $25,000 per year, per standard. Criminal penalties can add up to 250,000 dollars as well as ten years in prison, it may be imposed for “knowingly and improperly” disclosing or obtaining information under “false pretenses”, with higher penalties reserved for financial gain or “malicious harm”.

Lamson instills the law in to their students so that way they are completely knowledgeable of the HIPAA law because it is set to protect themselves as well as their patients. Lamson Institute offers medical programs that are in demand in today’s competitive job market that requires the knowledge of all medical regulations. With our friendly and knowledgeable admission representative you will find the career training you have always dreamed of.

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