The HITECH Act & HIPAA

The Health Insurance Portability and Accountability Act of 1996 (HIPAA) governs how patients' personal health information (PHI) is used. The Health Information Technology for Economic and Clinical Health (HITECH) Act was enacted Feb. 17, 2009, to further enforce health information security guidelines.

HIPAA

• HIPAA guidelines regulate how consumers' health information is used, when transmitted among covered entities such as hospitals and pharmacies. In addition, it covers information such as medical bill payments and details of a medical office visit. HIPAA impacts the sharing of information transmitted verbally, electronically and in paper format.

The HITECH Act

• According to the U.S. Department of Health and Human Services, HITECH was enacted to promote "the adoption and meaningful use of health information technology". This act further solidifies existing HIPAA laws by taking a more in-depth look at how electronic files are used.

Impact on Providers

• Eligible health care professionals who operate according to the provisions of the HITECH Act may be rewarded with Medicare and Medicaid incentives. By 2015, however, incentives could end and non-compliant health care providers may face penalties.

Meaningful Use

• As of 2010, there are concerns about the definition of "meaningful use" in the HITECH Act. Clarification efforts are underway and will be published on approval by the appropriate federal agencies.