Frequently asked questions --
Health Insurance Portability and Accountability Act (HIPAA)

The following questions and answers address regulations called Standards For Privacy of Individually Identifiable Health Information (the privacy rule), issued by the federal Department of Health and Human Services to implement the Health Insurance Portability and Accountability Act (HIPAA). The effective date for the privacy rule is April 14, 2003. There are links at the end of this page to additional resources, including the actual regulations and guidance materials developed by the Department of Health and Human Services, Office of Civil Rights.

Disclaimer: This series of questions and answers relates only to the impact of the Health Insurance Portability and Accountability Act (HIPAA) regulations on the Minnesota workers' compensation system. This document is a reference tool only and should not be construed as offering or providing legal advice. While the Department of Labor and Industry has made a good-faith effort to provide accurate and useful information, it makes no representation and accepts no liability for any reliance on the completeness or accuracy of this information. This information is not intended to take the place of either the written law or regulations. Readers are encouraged to read the referenced HIPAA rules and the Minnesota workers' compensation statutes and rules because this document contains only a summary of the relevant provisions. A link to the HIPAA Privacy Rule and other resources is provided at the end of this document.

Frequently asked questions -- Health Insurance Portability and Accountability Act (HIPAA)

1. What is HIPAA and why is it relevant to workers' compensation?
HIPAA is an acronym that stands for a federal law, enacted in 1996, the Health Insurance Portability and Accountability Act (HIPAA). One of the goals of HIPAA was to simplify the health care administrative process by standardizing electronic transactions in the health care industry. Another goal was to provide a comprehensive national standard for the privacy and security of personal health information.

The HIPAA Privacy Rule is important because "covered" health care providers, including those that treat employees with workers' compensation injuries, are required to comply with its requirements. The privacy rule recognizes the legitimate need of employers, insurers and other entities involved in workers' compensation to have access to protected health information (PHI) as authorized by state or other law, but there are still indirect effects on the workers' compensation system.

2. Who must comply with the HIPAA privacy standards?

3. What is "protected health information" under HIPAA?

4. What limits does HIPAA place on disclosure of PHI by covered entities?

5. Under the HIPAA exceptions, what disclosures are permitted or required by Minnesota law without an injured workers' authorization?

6. When is an authorization required to disclose PHI for workers' compensation purposes?

7. When an authorization is required, what must it include?

8. What other HIPAA or Minnesota requirements might affect the workers' compensation system?

Frequently asked questions -- Health Insurance Portability and Accountability Act (HIPAA)
1.	What is HIPAA and why is it relevant to workers' compensation? HIPAA is an acronym that stands for a federal law, enacted in 1996, the Health Insurance Portability and Accountability Act (HIPAA). One of the goals of HIPAA was to simplify the health care administrative process by standardizing electronic transactions in the health care industry. Another goal was to provide a comprehensive national standard for the privacy and security of personal health information. The HIPAA Privacy Rule is important because "covered" health care providers, including those that treat employees with workers' compensation injuries, are required to comply with its requirements. The privacy rule recognizes the legitimate need of employers, insurers and other entities involved in workers' compensation to have access to protected health information (PHI) as authorized by state or other law, but there are still indirect effects on the workers' compensation system.
2.	Who must comply with the HIPAA privacy standards?
3.	What is "protected health information" under HIPAA?
4.	What limits does HIPAA place on disclosure of PHI by covered entities?
5.	Under the HIPAA exceptions, what disclosures are permitted or required by Minnesota law without an injured workers' authorization?
6.	When is an authorization required to disclose PHI for workers' compensation purposes?
7.	When an authorization is required, what must it include?
8.	What other HIPAA or Minnesota requirements might affect the workers' compensation system?