HIPAA was first introduced in 1996. In its earliest form, the law helped ensure workers retain health insurance between jobs. The law also requires healthcare organizations to implement controls for providing patient data to prevent healthcare fraud, although the rules took several years to write.

HIPAA also introduced several new standards aimed at increasing efficiency in the healthcare industry and required healthcare organizations to adopt standards to reduce the burden of documentation. You can find an online course for Health Insurance Portability and Accountability Act (HIPAA) via The eXchange Academy Store.

Code sets need to be used in conjunction with patient identifiers, which helps pave the way for efficient transfer of healthcare data between healthcare organizations and insurance companies by simplifying payments, billing, and eligibility checks, among other healthcare operations.

HIPAA also prohibits withholding taxes on interest on life insurance loans, imposes group health insurance requirements, and standardizes the amount that can be deposited in pre-tax medical savings accounts.

Confidentiality and security of health data

HIPAA is best known today for protecting patient privacy and ensuring patient information is adequately protected, as this requirement was added by the 2000 HIPAA Privacy Policy and 2003 HIPAA Security Rules. The requirement to notify individuals of breaches of their health information was introduced in the 2009 Notice Rules.

The purpose of the HIPAA Privacy Policy is to impose limits on the permitted use and disclosure of protected health information and to determine when, with whom, and under what circumstances health information may be shared.

The main purpose of HIPAA security regulations is to ensure that eHealth Information is properly protected, access to eHealth Information is controlled, and audited traces of PHI activity are maintained.