CMS delays HIPAA 5010 operation rules

With big data beginning to come through the healthcare industry, not only does the protection of patient information and images become a pressing issue, but so does the process of submitting claims to health insurance companies for medical services, including treatments, doctors' appointments and diagnostic imaging. This is why the government is implementing new operating rules as part of the most updated version of the Health Insurance Portability and Accountability Act (HIPAA).

HIPAA, which was signed into law in 1996, addresses the security and privacy of sensitive data through the use of data exchange using electronic health record and clinical archiving systems. HIPAA 5010 will enforce new operation rules authorized by the Patient Protection and Affordable Care Act for the sharing of information.

Although the Centers for Medicare and Medicaid Services (CMS) originally planned to enforce the rules starting Jan. 1, the agency delayed the action until March 31. This decision was made based on comments they received from HIPAA-covered entities stressing that compliance may not be possible at that time.

The rules address the content of administrative transactions since HIPAA 5010 - implemented in July 2012 - which, as of now, only covers the formatting.

While the CMS is being lenient on the matter, this does not mean that any healthcare providers, health plans and clearinghouses should delay following the operation rules if they have the ability to. The additional 90 days is strictly to help out those who absolutely need the extra time.

Once the operation rules are fully implemented by the end of March, the White House administration estimates that healthcare providers and payers will save up to $9.5 billion and $5.8 billion, respectively, InformationWeek reported.