What is one of the main purposes of HIPAA?

What is one of the main purposes of HIPAA?

• A. To limit health insurance coverage for employees
• B. To set standards for how health info is protected
• C. To reduce healthcare costs
• D. To expand health insurance eligibility

Answer: (B)

One of the main purposes of HIPAA, the Health Insurance Portability and Accountability Act, is to set standards for how health information is protected. This legislation was created to ensure that individuals' medical records and personal health information are kept confidential and secure. It establishes national standards that healthcare providers, health plans, and other entities must follow to safeguard sensitive patient information, thus enhancing privacy and protecting individuals from potential misuse or unauthorized access to their health data. This protection is key in promoting trust in the healthcare system, as patients can feel more secure in sharing their health information, knowing it will be handled with care and respect. In relation to the other choices, HIPAA does not aim to limit health insurance coverage for employees or expand health insurance eligibility. While reducing healthcare costs may be an indirect benefit of improved efficiency and better information management, it is not a primary purpose of HIPAA. The act's focus is primarily on the secure handling and privacy of health information rather than on financial aspects of healthcare.

One of the main purposes of HIPAA, the Health Insurance Portability and Accountability Act, is to set standards for how health information is protected. This legislation was created to ensure that individuals' medical records and personal health information are kept confidential and secure. It establishes national standards that healthcare providers, health plans, and other entities must follow to safeguard sensitive patient information, thus enhancing privacy and protecting individuals from potential misuse or unauthorized access to their health data. This protection is key in promoting trust in the healthcare system, as patients can feel more secure in sharing their health information, knowing it will be handled with care and respect.

In relation to the other choices, HIPAA does not aim to limit health insurance coverage for employees or expand health insurance eligibility. While reducing healthcare costs may be an indirect benefit of improved efficiency and better information management, it is not a primary purpose of HIPAA. The act's focus is primarily on the secure handling and privacy of health information rather than on financial aspects of healthcare.