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Medical Billing Glossary

HIPAA

The federal law governing the privacy and security of protected health information.

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Definition

HIPAA (the Health Insurance Portability and Accountability Act) sets national rules for protecting patient health information. Its Privacy Rule governs how protected health information (PHI) may be used and disclosed, and its Security Rule sets safeguards for electronic PHI.

HIPAA also established standard electronic transaction formats used in billing, such as the standardized claim and remittance transactions.

Why it matters for billing

Billing constantly touches PHI, so HIPAA compliance is part of every step — from how claims are transmitted to how staff handle records and how vendors are contracted. Strong safeguards protect patients and shield the practice from serious penalties.

Related terms

Terms that come up alongside HIPAA in the revenue cycle.

Billing that gets HIPAA right

EnVisionMD RCM handles eligibility, coding, documentation, denials and follow-up end to end — so the details behind terms like this one are managed for you, not left to chance.

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HIPAA — frequently asked questions

What does HIPAA protect?

The privacy and security of protected health information (PHI), including how it is used, disclosed, and safeguarded electronically.

How does HIPAA relate to billing?

Billing handles PHI throughout and uses HIPAA-standard electronic transactions, so compliance applies across the revenue cycle.

Authoritative References

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