Hipaa And Self-insured Health Plans

Written by Dina Kayed
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In the past, it was often difficult for those who did not belong to a large group or work in a company to obtain health insurance. In many instances, individuals were denied the right to obtain medical coverage. Those who were lucky enough to purchase insurance were often burdened by heavy taxes. Medical insurance costs were outrageous and usually difficult to maintain. This left many people without health coverage at the precise time when they needed it most--during times of financial hardship.

Self-Insured Health Coverage

Since HIPAA regulations were introduced, many problems regarding health coverage have been solved, or at least modified to suit people better. Individuals are no longer left behind. They are included and granted the right to obtain health coverage. HIPAA regulations even reduced taxes on those who purchase their own health insurance to lift their burden as much as possible.

Self-insured workers also have the right to the protection of their private information; it should be kept confidential at all times. Simply because they do not belong to a larger group does not mean that HIPAA privacy regulations don't apply to them as well. When their information is moved from one place to another, all security measures usually taken should still be applied.

Some companies think self-insured health plans are a solution to the expensive business of health insurance. The truth is that in the long term, this solution is likely to cause more problems than the traditional health plans, because a third party will be in control. This means claim payments will not be in accordance with your plan and many other issues could arise.

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