What is the Health Insurance Portability and Accountability Act (HIPAA)?

The Health Insurance Portability and Accountability Act (HIPAA) is a federal law that was passed in 1996 to protect the privacy of individuals’ health information. The Act contains two parts: the Privacy Rule and the Security Rule. The Privacy Rule sets standards for how personal health information must be securely stored, shared, and used by health care providers, insurers, and health care clearinghouses. The Security Rule requires health care providers and other “covered entities” to create safeguards for electronic health information, such as encrypting data and using firewalls. In Washington state, health care providers, insurers, and other entities must comply with HIPAA if they handle the private health information of any individuals covered by the law. This includes health care providers, insurance companies, and other entities that store or process private health information electronically. Violating any part of HIPAA can lead to significant fines, so it is important for these organizations to understand and comply with the requirements of HIPAA.

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