HIPAA or the Health Insurance Portability and Accountability Act has a single objective: the simplification of administrative processes in the health system, and the protection of patient privacy.
In the HIPAA privacy rule, the review has been amply paid to information security throughout the guidelines, through which HIPAA compliance can be easily reached. The fundamental objective of this rule is to ensure that personal information or PII remains protected as it travels through the entire health system.
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It is for this reason that healthcare organizations, including payers, providers, and clearinghouses are required to comply with the privacy rule.
Organizations that deal with transmission or maintenance of protected health information electronically or ePHI are required to comply with HIPAA. This is inclusive business associates who happen to be contractors and subcontractors performing services on behalf of a health care provider.
Today, the world's fast-paced and technologically advanced, regulatory compliance, such as compliance with HIPAA mandates, maybe an extremely complex task. Indeed, companies and health care are those involved in the electronic process or storage of protected health information sometimes find an entire company to be one that is extremely costly in the long term.
The worst is that failure or inadequacy tends to bring with it a more costly burden for these companies. When violations are found, health care providers and associates are fined in the millions.