Hipaa Details

Employer HIPAA compliance is a complex and multifaceted subject. When it comes to offering their employees health benefits, no employer group is the same. Smaller businesses (those with less than 50 employees) frequently use a Third Party Administrator (TPA), an insurance agency, or both to handle the day-to-day administration of their plan. Other firms will take a more practical approach and expose employees to Protected Health Information (PHI) and PII more frequently (PHI).

Even though you might think HIPAA doesn’t apply to you, many organisations frequently have more access to PHI than they anticipate. Continue reading to learn more about Hippa compliance to employee.

Does HIPAA Law Apply to All Employers?

Employers are sensible to expect that if they have access to health information on their employees, they will need to spend time assuring compliance due to the complexity of HIPAA requirements. HIPAA has many obligations, but the ones that apply to all subject entities are those that deal with the security and privacy of health-related data. It is easy to assess your potential risks and put a plan in place to help limit your exposure by comprehending applicable HIPAA requirements for employers.

Achieving HIPAA compliance

While improving the portability and continuity of healthcare insurance plans is HIPAA’s main goal, employers should nonetheless be aware of the law and any prospective areas that could have an impact on them. Stronger data security and standardised processes that are beneficial to an employer’s benefits administration procedures are frequently the results of HIPAA compliance for companies.

HIPAA Generally Does Not Apply to Employers

Contrary to popular belief, employee health information is not covered by the Health Insurance Portability and Accountability Act (HIPAA). In actuality, HIPAA generally does not apply to employer-maintained employee health information.

Only “covered entities,” which are defined as health plans, healthcare clearinghouses, and healthcare providers that electronically communicate specific health information (as well as some of the covered entities’ “business associates”), are subject to HIPAA. HIPAA does not apply to an employer at all if it does not fit into one of those categories. HIPAA does not, in fact, extend to health information contained in “employment records retained by a covered entity in its function as an employer,” even if the employer is a “covered entity.” HIPAA may therefore apply to the health information that employers obtain while acting in their capacities as covered entities, but it does not apply to the health information they acquire while acting in their capacities as employers.

However, employers must remember that HIPAA does apply to requests for health information from covered entities. Without the employee’s consent or as otherwise permitted by law, a covered organisation may not divulge protected health information to an employer. Information kept in that role may not be shared with human resources or an employee’s management, except as expressly permitted by the employee or as required by relevant law, even if the employee is also a patient or member of the covered entity.

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