Abstract
The wisdom of the HIPAA Privacy Rules was to create national standards to protect the
privacy of personal health information. This Rule took effect in April, 2003 and provides
protections to every patient whose information is collected, used or disclosed by covered entities.
The paper will provide information on HIPAA's Privacy Rules, the effect on medical providers
and patients. Also, it will give recommendations on how to improve the implementation of this
Rules.
Privacy Rules 2
BACKGROUND
"HIPAA" is an acronym for the Health Insurance Portability & Accountability Act
of1996 (August 21), Public Law 104-191, which amended the Internal Revenue Service
Code of 1986. Also known as the Kennedy-Kassebaum Act, the Act includes a section,
Title II, entitled Administrative Simplification. To improved the efficiency in healthcare
delivery by standardizing electronic interchange. To improve protection of
confidentiality and security health data through setting and enforcing standards. More specifically, HIPAA called upon the Department of Health and Human Services
(DHHS) to publish new rules that will ensure standardization of electronic patient health,
administrative and financial data, unique health identifiers for individuals, employers,
health plans and health care providers and security standards protecting the confidentiality
and integrity of "individually identifiable health information," past, present or future. (HIPAA,
2005)
Who is covered by HIPAA?
Health Plans This includes individual or group health plans that provide or pay the cost of
medical care, and includes, among other federally funded health plans, the Medicare and
Medicaid programs. Certain other government-funded programs are excluded from
the definition of health plan.
Health Care Providers This includes any provider who transmits any health
information in electronic form in connection with the
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