HIPAA is an acronym for Health Insurance Portability and Accountability Act of 1996. In April of this year, the federal government regulations known as the Medical Privacy Rule, became effective, specifying new privacy protections for individuals and obligations for employers and health care providers.
Now that the compliance deadline for the HIPAA medical privacy regulations has past and the health care industry has implemented required procedures, many employers are seeing the affect that the new privacy regulation has on numerous human resources practices. The far reaching impact of HIPAA affects nearly every employer even though such firms may not be defined as a covered entity under the regulation.
Under the new HIPAA medical privacy requirements, health care providers and health plans can no longer release protected health information to employers unless certain conditions are met. As a result, the HIPAA regulation indirectly affects employer practices relating to employer contact with a physician and use of employee health information in employment settings.
In particular, HIPAA has an affect on employer practices relating to workers compensation, drug testing, physical exams, FMLA, maternity leaves, sick days and health plan communications.
For example, many employers require an employee to return to work with a doctor's statement in the event of an absence of three or more days due to a medical reason. HIPAA now requires an employee authorization permitting such disclosures to the employer.
Listed below are several suggestions to employers for adapting human resources practices to accommodate the new HIPAA guidelines relating to disclosures of health information.