HIPAA

HIPAA stands for the Health Insurance Portability and Accountability Act, a federal law enacted in 1996 to protect the privacy and security of individuals’ health information. It sets national standards for how healthcare providers, health plans, and related entities must handle protected health information, or PHI. HIPAA helps ensure that sensitive data remains confidential and accessible only to authorized parties.

Key rules under HIPAA

HIPAA consists of several core components that define how health information must be protected and managed.

The Privacy Rule

The Privacy Rule establishes standards for the use and disclosure of PHI. It applies to:

• medical records
• billing records
• any data that can identify an individual

This rule gives patients the right to:

• access their health information
• request corrections to inaccurate data
• control how their information is shared

The Security Rule

The Security Rule focuses on protecting electronic PHI, or ePHI. It requires healthcare organizations to implement safeguards such as:

• Encryption of electronic records
• Access Control systems to limit internal use
• regular Risk Assessments to detect and fix vulnerabilities

These measures aim to prevent unauthorized access, loss, or theft of Digital Health data.

The Breach Notification Rule

This rule requires covered entities to notify affected individuals and the Department of Health and Human Services (HHS) if a breach of unsecured PHI occurs. Notifications must be prompt and transparent so that individuals can take protective action, such as monitoring their credit or changing passwords.

Why HIPAA compliance matters

Compliance with HIPAA builds trust between patients and healthcare providers. It ensures that patient information is treated with care, confidentiality, and accountability. Organizations that fail to comply may face:

• financial penalties
• legal consequences
• reputational damage

More importantly, adherence to HIPAA helps foster a culture of privacy and security in an increasingly Digital Healthcare environment. HIPAA compliance strengthens data protection and supports long-term patient-provider trust.