Suggested Law for Certification of Conformity for Health Schemes Removed by HHS

In January 2014, the Health and Human Services suggested a new law for certification of conformity for health schemes. The law would have needed all controlling health plans (CHPs) to present a variety of documents to HHS to prove conformity with electronic deal standards established by the HHS according to HIPAA Laws. The main purpose of the suggested law – Administrative Simplification:
Authorization of Conformity for Health Schemes – was to encourage more dependable testing procedures for controlling health plans. The HHS has currently publicized that the suggested law has now been removed.

Had the suggested law made it to the last rule phase, CHPs would have been needed to prove conformity with HIPAA administration generalization standards for 3 electronic deals: Health care claim rank, Eligibility for a health scheme, and also health care electronic funds transfers (EFT) as well as transfer advice. The failure to abide by the latest law would have led to financial fines for controlling health plans.

Most companies’ health schemes were managed by their insurance carriers, therefore the suggested law would not have impacted them directly, even though a substantial load would have been put on self-funded companies by the law modification. After publication of the suggested law in the central register in January 2014, Health and Human Services got over 72 public remarks. After analyzing those remarks, the HHS decided to remove the suggested law.

HHS will be re-considering the problems mentioned in the remarks and will be exploring alternatives and options to abide by legal prerequisites.

The Administrator of the HHS clarified that rules have already been set up for conformity with HIPAA administration generalization norms, and implementation of conformity with those standards. Although the suggested law has been removed, the HHS has verified that protected units are still needed to abide by 45 CFR parts 160 as well as 162.