Passed in 1996, the Health Insurance Portability and Accountability Act (HIPAA) -in particular, Title II, Preventing Health Care Fraud and Abuse; Administrative Simplification and Medical Liability-was intended to establish a federal floor of protections for managing the evolving technologies of storing and sharing electronic health information.
Explore this issue:January 2007
Section 261 of Title II, Administrative Simplification (AS), is overseen by the Centers for Medicare and Medicaid Services (CMS); it focuses on technology and security standards as they apply to all electronic transactions. The technology standard creates transaction and code sets (TCS) that went into effect in October 2003, as well as national identifiers for providers, insurance plans, and employers.
The security standard was established to protect data in electronic medical records (EMRs) through security configuration and information access control; it went into effect in April 2005. The purpose of these two standards is to improve the efficiency and effectiveness of America’s health care system by encouraging the use of electronic data interchange (EDI).