| The Health Insurance Portability
and Accountability Act (HIPAA) was enacted under President Bill
Clinton in 1996. This law ensures the continuity of healthcare
coverage for individuals changing jobs and includes a provision
that impacts on the management of heath information; seeks to simplify
the administration of health insurance; and aims to combat waste,
fraud and abuse in health insurance and healthcare.
Key implications of HIPAA include:
- Requires healthcare organizations to completely rethink the
manner in which they protect the security and privacy
of patients and
consumers.
- Mandates standard formats for the most common transactions
between healthcare organizations.
- Many healthcare organizations will need to replace or substantially
change their current systems and processes.
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