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AHIMA Slams Privacy Rules

New privacy protection laws included in the American Recovery and Reinvestment Act of 2009 (ARRA) make even a brief unauthorized look at medical records a federal offense that can mean large monetary fines both for individuals and healthcare facilities, argues the American Health Information Management Association (AHIMA).

A feature article in the August issue of the Journal of AHIMA reports that providers across the nation are now charged with the task of adapting their privacy policies and procedures to meet both state and federal requirements, while California amplified the task by overhauling healthcare privacy policies with strict new state laws.

According to AHIMA, Congress used ARRA as an attempt to increase patient trust that the healthcare industry will protect their personal health information. The data breach notification regulations are the first of the ARRA privacy provisions to take effect. The law required both the Department of Health and Human Services and the Federal Trade Commission to create and publish final interim regulations by August 16. California’s state laws contain tough new requirements that require facilities to report all privacy breaches to the California Department of Public Health.

The article explains how sorting out whether state or federal law is stricter has become a big challenge for healthcare officials because, as drafted, ARRA suggests that federal regulations will not preempt state laws. Under California law, patients must be notified if their health information has been compromised and if lost or stolen records are not encrypted with data protection technology.

California’s Privacy Pileup explains that once final regulations are announced, the collision of state and federal laws can be alleviated if healthcare organizations study and comply with ARRA provisions determined to be the most stringent. Also discussed is the need for these entities to work toward common interpretations and implementations when setting their policies.

ARMA International Washington Policy Brief, September 2009

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