Health Insurance Portability and Accountability Act of 1996 (HIPAA): Designed to protect the privacy and security of patient information, the law standardizes how electronic information can be transmitted and how this information must be secured while encouraging electronic transactions to lower health care costs. The final rule took effect on April 14, 2001. All medical records and other individually identifiable health information used or disclosed by a covered entity in any form, whether electronically, on paper, or orally, are covered by the final rule. Basically in regards to disposing of IT and computer equipment you must adhere to the ruling or face penalties, fines, and possible litigation.

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