Data breaches with respect to medical information are on the
rise, given that such information is generally more valuable on the
black market than stolen credit card data. The 2015 breach of
healthcare company Anthem, Inc., which saw over 37.5 million
records exposed, affected one in four Americans. In addition to the
growing threat of data theft, plan sponsors are at a heightened
risk of being subject to a HIPAA audit.
While many sponsors were historically lax about HIPAA
compliance, times are quickly changing. Here's what you
need to know about your HIPAA obligations and where your plan might
be falling short.
HIPAA Compliance Obligations
HIPAA creates privacy and security obligations for certain
organizations categorized as "Covered Entities." Covered
Entities include healthcare providers, healthcare clearinghouses,
and health plans. As explained below, some health plans have
reduced compliance requirements. However, many others have
full-blown compliance
