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Sidley Updates

Congress Significantly Expands Federal Laws Regarding Privacy and Security of Health Information and Electronic Medical Records And Adds Substantial Medicare/Medicaid Incentives Tied To Electronic Health Records

Healthcare Privacy Update
February 19, 2009

As a component of the Stimulus Bill passed on February 17, 2009, Congress adopted the Health Information Technology for Economic and Clinical Health Act (HIT), which includes provisions that significantly broaden existing federal health privacy and security protections. HIT represents the most significant change in federal health privacy and security law since the passage of the Health Insurance Portability and Accountability Act of 1996 (HIPAA). The Stimulus Bill also adds significant Medicare and Medicaid Incentives designed to encourage electronic health record (EHR) technology. Every health care entity, and those who do business with health care entities, will need to closely scrutinize these changes and take steps to ensure appropriate compliance with these new laws.