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Congress Passed Health Insurance Portability and Accountability Act to Protect Privacy and Health Care

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During the 1980’s, medical-related situations continuously occurred that made patients question their insurance policies as well as the privacy of their health care. Congress worked to create a bill containing strict rules regarding insurance policies and availability for one to keep their insurance if they are to move jobs. These rules were soon applied to all medical facilities and faculty and titled the “Health Insurance Portability and Accountability Act”.The H.I.P.A.A. policies brought about change in professionalism, medical standards, taxing, and enforcement. Throughout history, maintaining patient privacy has always been a problem in the medical field. Patients have the right to their privacy and the information that they do not…show more content…
Fortunately, HIPAA does apply to health plans, healthcare clearinghouses, and to any healthcare providers that transmit health information in electronic form in connection with transactions for which the Secretary of HHS has adopted standards under HIPAA. HIPPA covers five specific sections. In the first section, Health Insurance Access, Portability, and Renewability, HIPPA deals with protecting health insurance coverage for people who lose or change their jobs. Preventing Healthcare Fraud & Abuse, Administrative Simplification, & Medical Liability Reform, the second section, numerous healthcare offenses are defined with civil and criminal penalties set for each. This section also deals with the standardization of healthcare related information systems. Section 3, Tax-related Health Provisions, provides for certain deduction for medical insurance, and makes other changes to health insurance laws. As for the section 4, Application and Enforcement of Group Health Insurance Requirements, this section specifies conditions for group health plans regarding coverage of persons with pre-existing conditions, and modifies continuation of coverage requirements. Revenue Offsets, the last section that HIPAA covers, includes provisions related to company-owned life insurance, treatment of individuals who lose U.S. citizenship for income tax purposes and repeals the financial institution rule to interest allocation
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