The Health Insurance Portability and Accountability Act (HIPAA) is a U.S. federal law that was enacted in 1996. It was introduced to improve the portability and continuity of health insurance coverage, as well as to safeguard the privacy and security of individuals' health information.
The HIPAA law has several key provisions, including:
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Privacy rule: This rule establishes national standards for the protection of individually identifiable health information, known as protected health information (PHI). Covered entities, such as healthcare providers, health plans, and healthcare clearinghouses, are required to safeguard PHI and obtain individuals' authorization before disclosing their information.
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Security rule: This rule sets standards for the security of electronic PHI (ePHI) and requires covered entities to implement administrative, physical, and technical safeguards to ensure the confidentiality, integrity, and availability of ePHI.
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Breach notification rule: This rule requires covered entities to notify affected individuals, the Department of Health and Human Services (HHS), and, in some cases, the media, if there is a breach of unsecured PHI.
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Enforcement rule: This rule outlines the procedures for investigating and enforcing HIPAA violations and imposes penalties for non-compliance.
HIPAA applies to covered entities, which include healthcare providers, health plans, and healthcare clearinghouses, as well as their business associates, such as third-party vendors and contractors that handle PHI. HIPAA violations can result in significant financial penalties, reputational damage, and legal liability.