Health Insurance Portability and Accountability Act (HIPPA) Practice Exam

Which of the following is NOT a covered entity under HIPAA?

1. Employer

2. Healthcare provider

3. Health plan

4. Healthcare clearinghouse

The correct answer is: Employer

The correct answer indicates that an employer is not classified as a covered entity under HIPAA. Covered entities are specifically defined within HIPAA regulations and include healthcare providers who transmit any health information in electronic form in connection with a HIPAA transaction, health plans that pay for the provision of healthcare, and healthcare clearinghouses that process health information. Employers are not considered covered entities because they do not provide healthcare directly nor do they pay for healthcare services under HIPAA; instead, they may offer health insurance as a benefit. This role does not entail the handling of personal health information in a manner that would classify them as a covered entity under HIPAA. By understanding the roles and definitions of covered entities, it becomes clear why an employer, while they may interact with health plans and providers, does not fit into the HIPAA framework in the same way.