HHS Withdrew Suggested Law for Accreditation of Conformity for Health Policies

The HHS suggested a new law for accreditation of conformity for health policies in the month of January 2014. The law would have needed all of controlling health plans (CHPs) to surrender a variety of documents to Health and Human Services to prove conformity with electronic deal standards established by the HHS according to HIPAA Laws. The main purpose of the suggested law – Administrative Simplification:
Accreditation of Conformity for Health Policies – was to support more constant checking procedures for CHPs. Now the HHS has declared that the suggested law has been revoked.

Had the suggested law made it to the final law phase, CHPs would have been needed to prove conformity with HIPAA management simplification requirements for three electronic deals: health care claim status, Admissibility for a health policy, and health care electronic funds transfers (EFT) as well as the transfer of funds advice. The failure to abide by the new law would have led to fiscal fines for CHPs.

Most companies’ health policies were managed by their insurance carriers, therefore the suggested law wouldn’t have influenced them directly, even though a substantial load would have been put on self-funded companies by the law change. After publication of the suggested law in the national register in January 2014, HHS got over 72 public remarks. After checking those remarks, the HHS decided to withdraw the suggested law.

HHS will be re-checking the problems raised in the remarks and will be studying alternatives and options to abide by legal conditions.

The Secretary of the HHS clarified that rules have already been set up for conformity with HIPAA management simplification criteria, as well as the application of conformity with those criteria. Although the suggested rule has been revoked, the HHS has verified that protected units are still needed to abide by 45 CFR parts 160 and 162.