Security is a top priority for any business. Even more so in the healthcare industry, as it involves dealing with information about health records, trading partners, claims, billing and more. HIPAA Compliance (Health Insurance Portability and Accountability Act), is a law enacted to help workers in the United States can transfer coverages, secure privacy and make sure those benefits are extended to their families. It allows workers to transfer insurance in case they switch or lose their job.
Furthermore, the legislation additionally emphasizes the reduction of fraud and abuse within the US healthcare system. The healthcare system is required to adhere to a minimum set of benchmarks while handling confidential protected materials, and billing information.
The HIPAA law requires healthcare organizations and its business associates to ensure the security and confidentiality of PHI whenever a transfer occurs through constant development and following the required procedures.
HIPAA Compliance, however, is not just a recommendation – it is mandatory. If you are a covered entity and related business associates, you are required to adhere to HIPAA Privacy Rules and HIPAA Security Rules. There are several advantages when one ensures HIPAA Compliance. This article will highlight HIPAA Compliance is so important for your organization.
Ensures greater rates of return
The most noteworthy benefit of proper HIPAA Compliance management is perhaps the security in knowing providers won’t be subjected to corrective actions for being non-compliant. Corrective actions can come in several forms, but each action can cost healthcare providers in the loss of many resources and time. Penalties for HIPAA non-compliance can range from a minimum of $100 up to a maximum of $1.5 million per year for each violation. Besides penalties, there are additional administrative costs associated with non-compliance. For instance, a system-wide overhaul involving data storage, security or transmission may be needed to keep up with the industry standard. Not to mention, extensive training of employees and relevant staff may be needed. Each case of non-compliance is different; thus, this makes it harder to assess the liabilities for future non-compliance. All these factors can greatly affect an organization’s profitability. If you are not subjected to corrective actions, it means everything is running smoothly and you are earning your estimated share of profits or even more. This is solid evidence that HIPAA Compliance is important.
Reduction in the number of medical errors
HIPAA requires different parties to be involved when building medical files. When patients and providers work together, the chances of error dramatically decrease. The whole process flow is so rigorous that each party when transferring files also requires verification of data, thus, eliminating more errors in the process. The whole process can boost the quality of care because doctors and practitioners know that the information is error-free. Patients are also immediately interviewed when EHRs are upgraded. The unity where all the parties collaborate to improve operational efficiency was not present before the law was enacted in 1996. However, to know if a procedure when transferring information or files is HIPAA compliant, a proper HIPAA Compliance management system can make lives so much easier.
Providers are required to have a data backup plan in place
The establishment of HIPAA law made healthcare providers more aware and conscious of having a proper backup plan in place. Physical medical records are more vulnerable if there is no backup plan in place. Some hospitals, even have a huge full room dedicated to storing medical files. If there is no electronic health record in place and paper files somehow get lost, it means the patient’s data is also gone for good.
Under the HIPAA law, providers are liable and responsible for how storage, backup files, or tapes are being stored. Based on how often backup files are accessed providers do a routine check-up daily, weekly, or monthly. Also, the healthcare provider must adhere to an additional set of rules if an online cloud-based backup system is used.
Patients can contribute to their medical files
Patient trust is at the centre of delivering quality care. Before this medical law passed, patients were not allowed to access their personal medical records. Due to this law, patients are now able to make copies and make corrections of their medical records. It made it easier for patients to see another healthcare provider, especially for those with pre-existing conditions who wanted to change jobs without having to worry about their health insurance status. This is another evidence that HIPAA Compliance is important and proper HIPAA Compliance management can earn the patient’s trusts and improve the overall quality of care.
HIPAA Compliance is important and can be made easier through HIPAA Ready
The benefits of proper HIPAA Compliance management far outweigh the drawbacks. The only and most common drawback is that healthcare providers feel constant monitoring is arduous and laborious.
HIPAA Ready is a platform that can help covered entities and their business associates understand the complex HIPAA law. The constant updating tutorial platform contains all information related to HIPAA. In addition, the application includes modern and effective training materials on HIPAA Compliance that can benefit both the employer and employees.
This robust built application has features where you can customize the workflow across your organization by maintaining a checklist of every step while ensuring they are HIPAA Compliant.
By including a digital checklist of tasks, meetings and training information; streamlining workflow activities while being HIPAA Compliant becomes more simple.