HIPAA Violation Penalties

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Are you concerned about being punished for HIPAA violations? Here’s a full overview on HIPAA violation penalties to help you understand the types of fines you can face

The Health Insurance Portability and Accountability Act (HIPAA) was passed in 1996 to protect workers and their families by prohibiting new employers from denying coverage for preexisting conditions, prohibiting discrimination against employees and their dependent family members based on any preexisting condition, and giving individuals who lose their coverage new rights to enrol in a group health plan.

HIPAA additionally safeguards patients’ paper and electronic medical information via the Privacy Rule and the Security Rule, both of which were adopted by the United States Department of Health and Human Services (HHS).

Enforcement of HIPAA Violations

The HHS Office for Civil Rights (OCR) is the HIPAA enforcement agency in charge of investigating any complaints about HIPAA infractions. If the OCR discovers a HIPAA violation, the OCR will calculate the amount of each penalty in accordance with the American Recovery and Reinvestment Act of 2009.

Fines for HIPAA Violations

The amount of any civil penalty is determined by the magnitude of the damage caused by the breach. It may also rely on whether the offence was committed deliberately or inadvertently, and if it was addressed in a timely way. A violation that is not deliberately negligent should be addressed within 30 days of receiving notification from the OCR to avoid any form of civil penalty. Here are a few more instances of fines:

This is the first time a violation has been committed inadvertently. The penalties for this sort of offence might range from $100 to $50,000.

Willful neglect created the violation, but it was remedied within 30 days. This sort of fine might range between $10,000 and $50,000.

Willful neglect resulted in a violation that was never remedied. This is the most expensive sort of fine, with a starting amount of $50,000.

Is it possible to commit a crime?

It is crucial to recognise that a breach of the Privacy Rule may result in substantial criminal penalties for a covered company. The Privacy Rule protects patient health information from disclosure, and anybody who intentionally reveals such information may face criminal charges from the Department of Justice. The penalty is a $50,000 fine and up to a year in prison.

More crucially, if such sensitive information is transferred or sold, it is possible to face up to ten years in jail and penalties of up to $250,000.

HIPAA compliance is critical in order to prevent such severe financial and personal consequences. Healthcare providers, insurance adjusters, and other covered organisations should do everything possible to stay in compliance.