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The Health Insurance Portability and Accountability Act (HIPAA) is a United States legislation that aims to safeguard medical data and ensures data security through compliance regulative. Every healthcare provider has to be compliant with HIPAA laws. If they fail to do so, then they might incur heavy penalties or be subject to critical punishment. President Bill Clinton signed the legislation on August 21, 1996. It has five sections:
- HIPAA Health Insurance Reform
- HIPAA Administrative Simplification
- HIPAA Tax-Related Health Provisions
- Revenue Offsets
- Enforcement of Group Health Plan Requirements