HIPAA is the American Health Insurance Portability and Accountability Act of 1996. It provides confidentiality, security and transmissibility of health care information. In other words, HIPAA protects unauthorized disclosure (by covered entities) of any protected health information that pertains to a consumer of health care services.
HIPAA was created to establish fundamental standards in privacy, security and to simplify administrative duties.
The potential consequences of not protecting privacy or security can be severe. For this reason, Congress passed HIPAA in 1996 to provide provisions for privacy and security protections.
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