HEALTH INSURANCE PORTABILITY AND

ACCOUNTABILITY ACT OF 1996

(HIPAA)

What is HIPAA?

HIPAA refers to the Health Insurance Portability and Accountability Act of 1996

One of the primary objectives of HIPAA is to protect personal medical information

HIPAA Overview

All HIPAA-covered entities, including health plans and healthcare providers, are regulated and covered by HIPAA laws

February 18, 2010, was the date for required compliance by business associates of these entities with HIPAA requirements

Business associates are subject to direct liability by regulation as of September 23, 2013

The definition of a “breach” of protected health information as of September 23, 2013 was broadened to have more limited exclusions

Why HIPAA?

HIPAA information is sensitive and should be kept confidential because it can be misused and exploited by others for identity theft or fraud.

An entity needs to meet all applicable HIPAA requirements

HIPAA LAWS HAVE TWO MAIN PURPOSES:

To protect personal privacy To prevent crime

HIPAA PRIVACY AND SECURITY RULES ARE ENFORCED BY THE OFFICE FOR

CIVIL RIGHTS (OCR) PART OF DEPARTMENT OF HEALTH AND HUMAN

SERVICE (HHS)

HIPAA Compliance

Disclosing PHI –

A Serious Offense

When someone’s Protected Health Information (PHI) is disclosed, it becomes a serious offense

The most severe fine imposed for HIPAA violations includes $50,000 per violation

Maximum of $1.5 million-per-year for violations of an identical provision, as well as imprisonment

HIPAA Security Rule

HIPAA’s security rule mainly deals with electronic Protected Health Information (ePHI) in any electronic or digital form Disclosure of someone’s PHI

requires a HIPAA authorization (a “release”)

A limited amount of information of PHI disclosure to family and friends may be permitted in certain circumstances

Disclosure of someone’s own PHI to that individual and disclosure for treatment does not require minimum necessary filtering

Disclosure for Treatment

HIPAA minimum necessary rules do not apply to uses and disclosure for treatment

Many individuals expect that their health information will be used and disclosed as necessary to treat them, bill for treatment, and, to some extent, operate the covered entity’s healthcare business

Disclosure for Treatment

To avoid interfering with an individual’s access to quality health care or the efficient payment for such health care, the Privacy Rule permits a covered entity to use and disclose protected health information, with certain limits and protections, for treatment, payment, and healthcare operations activities

Most disclosures for treatment, payment and healthcare operations do not require an authorization

E-MAILING OF CERTAIN INFORMATION AND PROTECTED

HEALTH INFORMATION IS GENERALLY NOT PERMITTED. IF IT IS

PERMITTED BY THE CARRIER, ALL E-MAILS THAT CONTAIN CONFIDENTIAL

INFORMATION OR PROTECTED HEALTH INFORMATION MUST BE

ENCRYPTED.

HIPAA and E-mail

ELECTRONIC COMMUNICATIONS OF PROTECTED HEALTH INFORMATION, TO THE EXTENT PERMITTED BY THE

COMPANY, REQUIRE APPLICATION OF REASONABLE SAFEGUARDS AND

ADEQUATE PROTECTIONS AGAINST INAPPROPRIATE USE OR DISCLOSURE

HIPAA and Electronic Communications

Reporting a Potential Privacy Breach

Anonymous reporting may be made through the Toll-Free Hotline provided by the Company’s Third Party Hotline Service:

Taylor White Accounting and Finance

(888) 368-7988, or

Reporting may also be made to the Company’s Privacy

Officer.

THANK YOU

F O R A G E N T U S E O N L Y .   N O T F O R U S E W I T H C O N S U M E R S .   C E R T A I N E X C L U S I O N S A N D L I M I T A T I O N S M A Y A P P L Y .   N O T A F F I L I A T E D W I T H

T H E U N I T E D S T A T E S G O V E R N M E N T O R T H E F E D E R A L M E D I C A R E P R O G R A M .   T H E C O N T E N T O F T H I S P R E S E N T A T I O N R E F L E C T S T H E

O P I N I O N O F T H E P R E S E N T E R A N D N O T N E C E S S A R I L Y T H E O P I N I O N O F A N Y E N T I T Y W I T H W H I C H T H E P R E S E N T E R H A S A B U S I N E S S

R E L A T I O N S H I P.   T H I S I N F O R M A T I O N I S P R O V I D E D F O R E D U C A T I O N A L P U R P O S E S .   T H E O N G O I N G I M P L E M E N T A T I O N O F L A W S , R U L E S , A N D R E G U L A T I O N S M A Y C A L L F O R I N F O R M A T I O N I N T H I S P R E S E N T A T I O N T O B E R E V I S E D .   N E I T H E R T H E P R E S E N T E R , N O R A N Y E N T I T Y W I T H

W H I C H T H E P R E S E N T E R M A Y B E A F F I L I A T E D , C O N T R A C T E D , O R E M P L O Y E D , P R O V I D E T A X , I N V E S T M E N T , O R L E G A L A D V I C E .