The Health Insurance Portability and Accountability Act of 1996, better known as HIPAA, developed guidelines to reduce the risk of protected health information from being breached. Violations of this law can result in severe fines and legal action against businesses.
What is Protected Health Information?
PHI encompasses any information that can identify a patient, including:
- Phone numbers
- Email addresses
Sensitive PHI, such as Social Security numbers, health care records, and insurance IDs, can cause even more detrimental circumstances.
How Does HIPAA Protect Health Information?
Through the HIPPA act, as well as other regulatory rules, HIPAA compliance has become part of the culture expected of health care organizations. Companies must implement practices that comply with those privacy, integrity, and security rules. To ensure that HIPAA requirements are followed, each business must develop policies and train all employees. Periodic self-audits are critical, as well as remediation plans for possible breaches.
How Can You Protect Your Business Against HIPAA Claims?
Because of the stiff penalties for HIPAA violations, it is critical that health care providers, medical facilities, and other HIPAA-covered entities have insurance coverage. Professional liability insurance for the business must include protection against violations of HIPAA rules. Coverage for fines, penalties, and legal proceedings should be written into the policy.
No business wants to violate the HIPAA rules, but mistakes can happen. Make sure your company is protected against liability.