HIPAA (Health Insurance Portability & Accountability Act) Essay

The HIPAA is divided into two separates. office one seeks to protect the right to continue health indemnification cover for employees and their family members in the event of losing their job or shift to an other(a) job (U. S. Department of Labor, 2010). This section also dictates limitations to group health intent benefits, which can be provided to preexisting spring to between 12 and 18 months after(prenominal) enrollment into the plan.However, the act does not trim down much(prenominal) restrictions to long term plans provided one by one from general health plan. This enables employees and their families to have insurance cover even after losing employment. The other crucial provision of the HIPAA is on enduring selective information privacy (National get of Health, 2007). In a move to simplify and improve the efficiency of the work and transfer of health information, the act dictates for the development of rules setting standards for such operations within the h ealth misgiving system.The section also defines various programs for mitigating invention activities or abuse of power in the system. On privacy, the act gives provisions for the use of disclosure of protected health business organisation information of a patient (National Institute of Health, 2007). This is quite crucial in defend the right to privacy and confidentiality by a patient. HIPAA also sets new transaction and cypher sets rule, which defines the standards for health care institutions to file their electronic claims for compensation.In addition, the act has established a security rule, which dictates new safeguard in dealing with electronic protected health information (U. S. Department of Health & gentle services, 2003). To ensure effectiveness as wellhead as flexibility of the security rule, it defines some(prenominal) required and addressable specifications for implementing the rule with the latter(prenominal) being more flexible. Therefore, the HIPAA protects e mployee health insurance cover after loss of diverseness of job and safeguards protected health information use and disclosure.