Health Insurance Portability and Accountability Act of 1996
The main provisions of HIPAA, effective July 1, 1997:
- Prohibits denial of insurance because of pre-existing medical and genetic conditions
- Requires insurance companies to offer policies to small businesses and employers
- Guarantees insurance policy renewal, providing continuous premiums and coverage
- Provides for continuity and portability of health insurance coverage for persons changing employment
However, even with HIPAA provisions, there are large gaps in coverage for many people:
- Only persons currently enrolled in health plans as of July 1, 1997 are covered by HIPAA provisions
- People receiving health care policies as a result of employment in large, multi-state, self-insured insurance companies are not protected by these provisions
- Because there are no caps on premiums, a person can effectively be denied coverage because of inability to pay increased rates
Visit http://aspe.hhs.gov/admnsimp/final/PvcPre01.htm