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Home » Health Insurance Portability And Accountability Act - Hipaa

Definition Of Health Insurance Portability And Accountability Act - Hipaa:


An act createdby theU.
SCongressin 1996 that amends both the Employee Retirement Income Security Act(ERISA) and the Public Health Service Act (PHSA) in an effortto protectindividuals covered by health insurance and to set standards for the storage and privacy of personal medical data.The HIPAA ensures thatindividual health care plans are accessible, portable, and renewable, anditsets the standards and the methods for how medical datais shared across the U. health system in order to prevent fraud. It pre-empts state law unless the state's regulations are more stringent. This act has been modified since 1996 to include processes for safely storing and sharingpatient medical information electronically. The act also has an administrative simplification provision, which is aimed at increasing efficiency andreducing administrative costsby establishing national standards.Health insurers, health maintenance organizations (HMOs), healthcare billing servicesand other entitiesthat handle sensitive personal medical information must comply with the standards set by the HIPAA. Noncompliance may result in civil or criminal penalties.

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