Health Insurance Privacy

Importance of Health Insurance Privacy

Almost all of us believe that our information that we divulge to professionals remain secret. That is why we have the lawyer's code of conduct as well as the doctor-patient confidentiality agreement. However, how many of us trust corporations to keep our information private? Just think of the amount of sensitive information we divulge to some of them every day. And this is specially true for health insurance companies. After all, what is more sensitive than your health data? Health Insurance Privacy is of the utmost importance.

Yet this data is eagerly sought after by a number of individuals. Other insurance companies for example, would love to know your pre existing conditions, and so would brokers. Sellers of health products would give their arm for a handy database of all those who might want their products. But none of us I am sure, would like our health data to be just handed over to anyone. After all, this is a matter of privacy, and there's something Orweillian about your health data floating around freely.

Image Credit: bejealousofme

This is specially true when our medical records are being shifted into electronic format. Such a change makes data sharing easier than ever. Even if the company itself would not divulge information, can the same be said for the employees who can either make a mistake or steal that data?

It is for this reason that the Health Insurance Portability and Accountability Act (HIPAA) was introduced.

Safeguards for Health Insurance Privacy

HIPAA works on multiple levels to ensure that an individual's health information is kept private. On a broad level, it specifies who is supposed to adhere to the privacy standards and what information is to be kept private. This also happens to include financial information regarding payments.

Three levels of safeguards are also specified with details guidelines and procedures. These three levels are administrative procedures, physical access safeguards, and technical safeguards. Such protection means that no single person whose authority is in one department alone can access all information about any single patient.

However, information that is statistical in nature and not related to any single patient is not covered under these laws. It applies only to personally identifiable information. "Covered entities" who are required to adhere to these safeguards can however, disclose information about a patient to law enforcement agencies after a proper approval from the authorities.

Summary

HIPAA takes care of the question in most customer's minds - "How can I be sure that a corporation isn't selling out my personal information." The stiff penalties that are in place for a breach of privacy will make sure that they stay in line and keep your personal data safe.

Michael Horvat is a health insurance expert with HealthQuotes.com in Colorado Springs, CO.  If you are searching for health insurance plans or quotes, please give Michael a call  anytime at 800-345-0789.

http://www.healthquotes.com