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Module 2 of 5
HIPAA Privacy Basics

The Privacy Rule

What counts as protected health information, how it can be used, patient rights, and the minimum necessary standard that governs every disclosure.

45 CFR Parts 160 & 164 Subparts A & E

Module Overview

What You'll Learn

Lessons 5–6

  • PHI: the 3-part definition
  • All 18 individual identifiers
  • De-identification methods
  • Permitted uses without authorization (TPO)

Lessons 7–8

  • Uses requiring written authorization
  • 12 public interest exceptions
  • Six patient privacy rights
  • Minimum necessary standard
Core Definition

What Is Protected Health Information?

1. Health Information

Any data relating to an individual's past, present, or future physical or mental health condition, or provision of health care, or payment for health care.

2. Individually Identifiable

The information identifies the individual — or there is a reasonable basis to believe it could be used to identify the individual.

3. Held or Transmitted

By a covered entity or business associate, in any form or medium — oral, written, or electronic. All three forms are protected equally.

45 CFR § 160.103 (definition of protected health information)

De-identification Standard

The 18 HIPAA Identifiers

Remove all 18 to achieve Safe Harbor de-identification under 45 CFR § 164.514(b)

Names
Geographic data smaller than state
Dates (except year)
Phone numbers
Fax numbers
Email addresses
SSNs
Medical record numbers
Health plan beneficiary #s
Account numbers
Certificate / license #s
Vehicle identifiers & serial #s
Device identifiers & serial #s
Web URLs
IP addresses
Biometric identifiers
Full-face photos
Any unique identifying number
Privacy Protection

Two De-identification Methods

Safe Harbor Method

Remove all 18 identifiers listed in 45 CFR § 164.514(b)(2). Covered entity must have no actual knowledge that the remaining data could identify an individual. Prescriptive but straightforward.

Expert Determination Method

A qualified statistical expert applies generally accepted principles to certify that the risk of identifying an individual is very small. More flexible — can retain some geographic or date data. Requires documented analysis.

De-identified data is not PHI and is not subject to the Privacy Rule.

45 CFR § 164.514(a)–(b)

Permitted Uses

Uses Without Authorization: TPO

Treatment

Providing, coordinating, or managing health care and related services by one or more providers. Includes referrals and consultations.

Example: ER physician shares records with specialist.

Payment

Activities to obtain reimbursement — billing, claims management, prior authorization, coordination of benefits, eligibility determination.

Example: Sending a claim to the patient's insurer.

Health Care Operations

Quality improvement, training, audits, accreditation, fraud detection, certain business management functions of the covered entity.

Example: Reviewing records for quality review.

45 CFR § 164.506 | 45 CFR § 164.501 (definitions of treatment, payment, health care operations)

Restricted Uses

When Written Authorization Is Required

Uses Requiring Authorization

  • Most marketing communications
  • Sale of PHI (any exchange for remuneration)
  • Psychotherapy notes (special category)
  • Use in research (unless waived by IRB)
  • Employer use of employee health info
  • Life insurance underwriting

Authorization Must Include

  • Description of PHI to be used/disclosed
  • Who may use/disclose & who may receive
  • Purpose of use or disclosure
  • Expiration date or event
  • Individual's signature and date
  • Right to revoke (in plain language)

45 CFR § 164.508 (authorization requirements)

Public Interest

12 Permitted Disclosures Without Authorization

Required by Law

Mandatory reporting obligations

Public Health

Disease surveillance, vital statistics

Victims of Abuse

Child abuse, neglect, domestic violence

Health Oversight

Audits, investigations, licensing

Judicial Proceedings

Court orders, subpoenas

Law Enforcement

With specific conditions/process

Decedents

Funeral directors, medical examiners

Organ Donation

Procurement organizations

Research

IRB/Privacy Board waiver granted

Serious Threat

To health or safety of person/public

Specialized Govts

Military, intelligence, State Dept

Workers' Comp

As authorized by state law

45 CFR § 164.512 (uses and disclosures for which authorization is not required)

Individual Rights

Six Patient Privacy Rights

Right of Access

Inspect and obtain copy of PHI in a designated record set. CE must respond within 30 days (one 30-day extension allowed). Fee must be reasonable/cost-based.

Right to Amend

Request correction of PHI. CE may deny if info is accurate and complete. Must document denials and allow patient to submit a statement of disagreement.

Right to Accounting

Obtain a list of disclosures of PHI for purposes other than TPO, made in the prior 6 years. Does not cover disclosures for treatment, payment, or operations.

Right to Restrict

Request restrictions on use/disclosure. CE need not agree — except: must agree to restrict disclosure to health plan when patient pays out-of-pocket in full.

Confidential Communications

Request to receive communications by alternative means or at alternative locations. Must accommodate reasonable requests.

Right to Complain

File complaints with the CE and with HHS OCR. CE cannot retaliate against individuals for exercising privacy rights or filing complaints.

45 CFR §§ 164.522–164.530

Core Principle

The Minimum Necessary Standard

What It Requires

Covered entities must make reasonable efforts to use, disclose, and request only the minimum amount of PHI necessary to accomplish the intended purpose. Not a case-by-case assessment for every disclosure — policies must be in place.

Key Exceptions

  • Does not apply to disclosures to the treating provider
  • Does not apply to disclosures authorized by the individual
  • Does not apply to HHS compliance reviews
  • Does not apply to required-by-law disclosures

Role-based access controls are the primary operational mechanism — limit access to PHI to only those with a job-related need.

45 CFR § 164.502(b) | 45 CFR § 164.514(d)

Operational Implementation

Minimum Necessary in Practice

Role-Based Access Controls

  • Define categories of workforce by role
  • Identify PHI needed per role
  • Limit EHR access to fields needed for that role
  • Require re-authorization when roles change
  • Audit access logs regularly

Routine Disclosure Protocols

  • Pre-approve standard disclosures (e.g., payer requests)
  • Document criteria for who receives what PHI
  • Non-routine requests require individual review
  • Training must cover minimum necessary judgment
  • Document all denials of access requests

Workforce members who access PHI beyond what their role requires may face disciplinary action and expose the organization to sanctions.

Module 2 Complete

What You've Covered