Financial Freedom Insight

Financial Services Complete Review

Enhanced HIPAA Penalties Raise Stakes for Employers and Health Care Providers Responding to a Security Breach

Posted on August 5th, 2010

While HIPAA’s recently enhanced penalty provisions and newly enacted security breach notification requirements have each received a significant amount of attention, the connection between them and its significant implications for employers and health care providers subject to HIPAA have not. Most significantly, because of the enhanced penalties, it is critical that covered entities conduct a careful and documented risk assessment before deciding not to provide notice of a security incident.

HIPAA’s recently promulgated security breach notification regulations require notice only if (a) there has been access to, or acquisition, use or disclosure of, protected health information (PHI) in violation of the HIPAA Privacy Rule; and (b) that violation “poses a significant risk of financial, reputational or other harm” to the subjects of the PHI.  In the preamble to the security breach regulations, the U.S. Departme

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Tags: Breach, Security Breach
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Are You Ready for a Healthcare Data Breach?

Posted on July 10th, 2010

This article is reprinted from Healthcare IT News with the author’s permission.

The handling of data breach incidents has become a way of life for healthcare providers and with other HIPAA covered entities. With the passage of the HITECH Act last year, there are now substantial penalties that can be levied, up to $1.5 million. This fact, combined with a requirement to notify the Department of Health and Human Services as well as the media for data breach incidents that affect over 500 individuals has, for the first time, resulted in public records being kept for such incidents.

If you oversee privacy, compliance, or IT for a hospital system, a group practice, a health insurance company, other covered entities, or even one of their business associates, the HITECH Act and its privacy and data breach provisions require your close attention. W

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Tags: Breach, Data Breach
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