 HIPAA Penalties
HIPAA sets severe penalties for non-compliance. The penalties may be:
The penalties may be:
Violation of HIPAA Requirements
For example, penalties for violation of patient confidentiality standards are substantial with monetary fines and in some cases imprisonment. The secretary may impose a civil monetary penalty (a fine) on any person or covered entity who violates any HIPAA requirement. The civil monetary penalty for violating transaction standards is up to $100 per person per violation and up to $25,000 per person per violation of a single standard per calendar year.
The Secretary may reduce the amount of a fine or waive it entirely if the violation was not due to willful neglect of the requirements, and if the entity corrects it within 30 days of becoming aware of it.
Federal criminal penalties can also be placed upon health plans, providers and health care clearinghouses that knowingly and improperly disclose information or obtain information under false pretenses. Penalties would be higher for actions designed to generate monetary gain.
Criminal penalties are up to $50,000 and one year in prison for obtaining or disclosing protected health information; up to $100,000 and up to five years in prison for obtaining protected health information under “false pretenses”; and up to $250,000 and up to ten years in prison for obtaining or disclosing protected health information with the intent to sell, transfer or use it for commercial advantage, personal gain or malicious harm.
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