Health Care Organizations and Insurance


In this essay, I shall be discussing the health insurance portability and accounting act under the federal law of the United States. This statue commonly known as HIPAA was formed by the United States Congress. This essay will look at the goals and the impact of this statute on the health of the people as well as the impact on the economy of the country. I shall also look at an overview of the description of the healthy people in this state. I will discuss what led to the evolution of this movement and its contribution to the health sector in the United States. A brief history of the HIPAA shall be discussed in line with when it was formed and its origin. This will enable us to understand this essay in deep.


The health insurance portability and accounting act were formed by the U.S. Congress in 1996. It is commonly known as HIPAA. This act protects the health insurance coverage for the workers and their families when they lose or change jobs according to June (2005). It also provides a guideline for electronic transactions involving health care, health insurance plans and helps people keep their confidential information. It provides protection for personal privacy on people’s health. This statute however it is balanced and permits the discloser of the information needed for patient care and another important purpose. It protects the employees as well as dependents against discrimination due to their health status. Though it protects individuals who are in several health-group plans it also gives one the right to purchase individual coverage.

Uday (2003) indicated that the HIPAA has amended several acts which include the public health service, employment retirement income security act, and the internal revenue code. This statue has been very helpful in maintaining the privacy of the patient and ensuring that the rights of the employees are well observed by the stakeholders. This act is based on the federal law of the United States. In case of any damage under this statute, there is compensation.

Healthy People 2000/2010

Sultz (2008) indicated that the healthy person 2000/2010 is a report released by the department of health and human services that is concerned with the improvement of the health standards of the people of the united state. The goals and objectives of this initiative were realized by this department in a document referred to as healthy people 2010. Its major objective was to direct the actions of the citizens in the United States towards maintaining health standards. This can be done through the prevention of diseases, detecting the disease in time, treating any disease that is evident, and also rehabilitation. This report is designed to ensure an increase in the years of healthy life and the quality of the life as well as eliminating health problems among different groups of people.

These health objectives are geared towards influenced by the health acts, regulations and guidelines imposed by federal and state agencies. This report provides an insight into how the people of the United States will be able to enjoy their healthy lives. It provides goals and objectives that are to be achieved in the year 2010. Its major perspective is to ensure that people are well taken care of in terms of their health and also proper treatment is given to the patients. It also ensures that people are given information on how to improve their health and how to take care of themselves to avoid being sick. A healthy person 2010 is a framework to protect the health of the nation. It is designed to identify various preventable threats and how to reduce these threats.

Goals and Impact of HIPAA

There are three major goals of HIPAA. These are protecting persons that have the group coverage from discrimination when it comes to treatment, enabling other small groups to keep health insurance more easily and giving the people who might be losing their health coverage options like obtaining individual coverage. The statute is also concerned with ensuring privacy is maintained especially by online medical services. This act has led to various outcomes. It has ensured that their security in the health sector and patient confidentiality is maintained this makes the clients who are the patient feel respected. According to Carolyn and Edward (2003) though confidentiality is necessary there is always the need to realize enough information for treatment this might put the medical officer at the risk of losing the job. It might also be difficult to determine the amount of information that one is supposed to disclose. To avoid this problem it is important that the medical personnel be informed about the HIPPAA guidelines in order to be able to curb this problem.

This statute will also protect the employees from being exploited by the insurance companies who might be interested in making money at the expense of the individual health. This could bring a lot of conflict between the insurance company and the client. The clients are also protected from unfair employees who might be trying to discriminate against the employees who are suffering from diseases. This act has created confidentiality among the people and they are willing to take the insurance protection for their health. In addition, people are able to plan for emergencies that are likely to occur at any time.

Mervant et el (2007) noted that the HIPAA has ensured proper use of the healthy people 2000/2010 plan by ensuring people are taking care of their health in a good way and also motivating people to plan for their health.

In Joan and Charles (2007) the statute has got some micro-economic impact in the health sector. It has been able to access the disadvantaged people and hence improve their health welfare. Through this, it is able to improve the welfare of the less fortunate in society today. There is also a negative impact regarding the statute, for example, medical personnel might lose his or her job and this will decrease their income hence bringing them back in terms of their status.


The health insurance portability and accounting act is the best statute that has been in the federal law of the United States. Through this act, the medical personnel and the insurance company have been forced to observe ethics in their practice. This has enabled the state to achieve the objective of the healthy people 2000/2010 initiative. A healthy nation is a working nation. By ensuring the health of the people is well taken care of, people are able to work and improve the economy of their nation. In this essay, it has been indicated that people’s privacy is very important and the act has also tried to maintain this. This restriction enables the individual to gain confidence when taking insurance for their health hence planning for unexpected emergencies.


  1. Carolyn, P. Edward, D. (2003). Hipaa Plain and Simple: A Compliance Guide for Healthcare Professionals. New York: American Medical Association Press.
  2. Joan, G. Charles, R. (2007). Management Principles for Health Professionals. New Jersey: Jones and Bartlett Publishers.
  3. June, M. (2005), HIPAA: A Practical Guide to the Privacy and Security of Health Data. New York: American Bar Association.
  4. Mervat, A. Sara, G. & Mary, A (2007). Health Information: Management of a Strategic Resource. Washington: Saunders.
  5. Sultz, L. (2008). Health Care USA. New Jersey: Jones and Barlett Publishers, LLC.
  6. Uday, O. (2003). Getting Started with HIPAA. London: Course Technology PTR.
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