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Brought out in 1996 by the US Congress, HIPAA (Health Insurance Portability and Accountability Act) is important for medical billing; you’ll learn why in this article. HIPAA is also essential for other back office medical processes such as medical coding, medical transcription, and patient appointment scheduling.

Electronic Claims Submission, Privacy of Patient Data

HIPAA supports the electronic submission of claims, which means limited errors and an impressive increase in returns. The act also stipulates security guidelines for privacy of patient information. This must have given you some idea why HIPAA is important for medical billing. One might find the following in HIPAA adherent companies:

  • Security guarding the office on a 24/7 basis.
  • Password-protected computers.
  • Staffs well-versed in maintaining secrecy of patient data and required to compulsorily put their signature on agreements for non-disclosure and confidentiality.
  • Disabling of floppy disc drives and other external drives on each computer.
  • Firewall and antivirus software for each individual computer.
  • Health information which can help to identify a person such as name, telephone number and email ID, photographs, health plan number, medical record number, license number, social security number, and dates are protected.

No Unauthorized Access

It is because something like HIPAA exists, that strangers are unable to access sensitive details about your mental and bodily health. Besides, with no way to see your confidential medical data, they can’t disturb you to make you buy something. Before HIPAA, a patient’s right to confidentiality differed from state to state. Now, all states must concur with the minimum standards laid by HIPAA.

Now that you know why HIPAA is important for medical billing, look for a medical billing service provider that works completely in accordance with this act.