›› HIPAA – Introduction

The
U.S. Congress enacted the Health Insurance Portability and
Accountability Act in the year 1996 commonly known as
HIPAA.
Part I of HIPAA provided for health insurance cover for workers among
with their families whenever they change or loose their jobs. Title II
of HIPAA, contains the Administrative Simplification (AS) provisions,
which require the founding of national standards for electronic health
care transactions and provision of national identifiers for providers,
control over health insurance plans, and control on the employers. The
AS provisions also deals with the privacy and security of health data.
The requirement of all these standards is only to improve the
effectiveness and efficiency of the country's health care system by
forcing the users to adopt the use of electronic data interchange (EDI)
in health care.
The Administrative Simplification provisions are mandatorily applicable
to the ‘covered entities’. Covered entities mean
and include all are those doctors offices and hospitals who use
electronic transactions (EDI) as per the provisions of the HIPAA/EDI
rules, health insurance companies providing health plans and employers
who sponsor ‘group health plans’, and all so
clearing housed engaged in health care claim settlements.

Application
of HIPAA Provisions
HIPAA compliance can be achieved by considering and following certain
key provisions. All the patients must be able to access their medical
records and if required request any correction of errors. All patients
must be informed about the usage of their personal
information. Some of the patient’s personal
information has been categorized as ‘protected health
information’ (PHI) which is forbidden to be used for
marketing purposes except with the written permission of the patients
concerned. Patients must be able to questions their covered entities
who maintain their personal medical records and their PHI, how they
ensure that all their communications in respect of the patient are kept
confidential.