What is HIPPA?
January 22, 2010 by Admin
Filed under Health Insurance
In 1996, a new law came into the book. It was the Health Insurance Portability and Accountability Act, which is abbreviated by HIPAA. This law is a federal law which is a modern act compared to the act from early 1965. It is there to protect the residents from health care reforms. The main purpose of the HIPAA is to help reduce health care costs and provide maximum amount of service to the residents. It also works to help protect people from security and personal information distribution and to regulate administration uses. The HIPAA is actually divided into subcategories. There is the HIPAA Security and the HIPAA Privacy. As the name suggests the HIPAA Privacy protects people and their personal health care information, and it gives it the utmost privacy restrictions. Nothing is shared without the consent of the individual themselves. The state takes the peoples personal information very seriously, and it will not share this information from any third party, and to ensure it does not, the HIPAA Privacy has set rules.
The HIPAA Security has more of an administrative purpose. It is involved in the organizations administration, information technology and other high tech communication devices. The reason is because the security sector divides its tasks between various sections like data recovery, data breaches, encryption and other forms of data storing. The Health and Human services organization handles all covered entities, and it makes much simple. They sometimes will be working with other businesses to provide maximum benefits to both parties. So, the question, what is HIPAA, can be broken down into the two main groups; HIPAA Security and HIPAA Privacy.



