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Why HIPAA-Compliant Is Critical for Health Care Business Success?

HIPAA is abbreviated as Health Insurance Portability and Accountability Act was first introduced in 1996 by the federal government, as a method to enhance the confidentiality and security of health care information. At the time of its inception, HIPAA has had a huge impact on the care of patient information in the healthcare sector. The importance of being HIPAA compliant cannot be neglected and overemphasized because if the regulations are not followed then it can result in prison terms or hefty fines.
HIPAA Compliance
HIPAA includes comprehensive needs of companies that contain PHI. They are needed to provide special focus to protecting the physical safeguard of the data, and also access to PHI should be restricted to the key individual.
Administrators and managers must be aware of available threats and daily security updates are required to know possible threats posed by data hacking and phishing scams.
Healthcare service providers should be aware of HIPAA needs. Healthcare provider must evaluate their security controls time to time and ensure that PHI is encrypted. The encrypted data can't be accessed if it is stolen or lost.
Of course HIPAA compliant is very important because it confirms that a covered entity is created in the event of a HIPAA investigation or audit.
The need for HIPAA compliance
HHS calls attention to that as a medical service provider and different elements dealing with PHI move to digital operations, including pharmacy, laboratory systems, radiology, electronic health records (EHR), computerized physician order entry (CPOE) systems and HIPAA compliance is vital than ever.
In the same way, health plans offer access to claims, self-service applications and care management. These methods are very useful and help to increase mobility and efficiency; they also rapidly enhance the security risks facing healthcare information.
The safety rule is in the place to safeguard the privacy of customers, health data, while at the same moment allowing other entities to take over new technological advancements to enhance the efficiency and quality of patient care.
It is very flexible by design to allow a covered entity to implement technologies, procedures and policies that are matched to the risks to patients, entity's size, consumers' e-PHI and organizational structure.
Who needs to be a compliant?
Under HIPAA, business associates and covered entities are required to ensure the safety of PHI (Protected Health Information). Covered entities include Healthcare Providers, Health Plans, and Healthcare Clearing House. And the business associates tend to companies that provide services to covered entities.
HIPAA Audits
HIPAA's audit program randomly chooses covered entities. These audits are managed by OCR (Office of Civil Rights) in the department of HHS that is known as Health and Human Services. For the enforcement of HIPAA's security and privacy regulations, only OCR is responsible.
The main motive of these audits is to check out compliance with privacy and security rules set by HIPAA, also with Breach notification rules.
The Breach notification rules are responsible to find out that if there is any security breach trends to PHI, the business associate or covered entity must prompt the affected entity regarding the incident. The OCR and HHS should also be informed about it.
All the operations and processes of covered entities are reviewed by HIPAA audits. If any breach revealed in this audit and the rules of HIPAA are violated then OCR may start an investigation.
HIPAA investigations
HIPPA organise an investigation relied on the bad outcomes of a random audit, it can also be in answer to a raised complaint filed against a covered entity. It is required for the covered entities to co-operate while the investigation is going on.
Complaints are filed or raised with OCR. The investigations are wisely managed by health care advocates that are fully introduced with all the regulations of HIPAA.
HIPAA Violations – Consequences:
  • Lapses in notification
  • Security rule violation for PHI kept in an digitized format,
  • Breach of privacy in relation to PHI,
There are various types of violations and also different tiers of criminal and civil penalties under HIPAA. There is also a provision of monetary penalties.
The additional cost is also faced by covered entities in dealing with investigations, and terms to corrective actions and breach notifications.
Now with all the above statements, you can understand the importance of being HIPAA compliant.

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