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1 1 (February 14, 2003)

handle is hein.crs/crsmthabanz0001 and id is 1 raw text is: Order Code RS20934 Updated February 14, 2003 CRS Report for Congress Received through the CRS Web A Brief Summary of the Medical Privacy Rule Gina Marie Stevens Legislative Attorney American Law Division Summary This report provides a brief overview of the modified medical privacy rule, Standards for the Privacy of Individually Identifiable Health Information(privacy rule) published on August 14, 2002 by the Department of Health and Human Services (HHS). Issuance of the modified privacy rule by the Bush Administration is the culmination of a decades long debate over access to medical records that has pitted privacy advocates and civil libertarians against employers and much of the health care industry. As required by the Health Insurance Portability and Accountability Act of 1996 (HIPAA), privacy recommendations were made to Congress by HHS in 1997, and a privacy rule was issued by the Clinton Administration in December 2000. The privacy rule went into effect April 14, 2001, with compliance required by April 2003 for most entities. The privacy regulation creates a new federal floor of privacy protections while leaving in place more protective state rules or practices. The rule establishes a set of basic consumer protections and a series of regulatory permissions for uses and disclosures of protected health information. S. 16, introduced in the 108th Congress by Senator Daschle, would reverse some modifications made to the rule. Background. In recent years, our society has come to rely increasingly on medical information to perform basic functions and to make decisions about individuals. However, a number of fundamental developments have threatened the confidentiality of health-care information, and are the cause of a great deal of concern. The emergence of third-party payment plans; the use of health-care information for non-health care purposes; the growing involvement of government agencies in virtually all aspects of health care; and the exponential increase in the use of computers and automated information systems for health record information have combined to put substantial pressure on traditional confidentiality protections. In addition, an increasing number of parties involved in health care treatment, payment, and oversight have routine access to personally identifiable health records. Greater utilization of health-care information coupled with inadequate confidentiality protections has increased the potential for unauthorized uses and disclosures of medical information. The disclosure of personally identifiable health-care information can profoundly affect people's lives. It affects decisions on whether they are hired or fired; whether they can secure business licenses, and life insurance; whether they are permitted to drive cars; whether they are placed under Congressional Research Service **o The Library of Congress