Guiding Principles

Helping employees get answers to their personalSome health benefits companies will only accept an
health benefits questions is a common responsibility fororiginal consent form; others will accept a faxed copy.
benefit administrators (BAs).Receiving a response
Many employees turn to their company's benefitOnce the appropriate form is received by the health
administrator for assistance because they feel the BAbenefits company, a response to the BA's inquiry can
is in a better position to get accurate and timelybe released. The information that will be reported back
information from the health insurance carrier. However,to the BA will be the "minimum necessary" - the least
there are rules and restrictions that govern how BAsamount of information necessary to answer the
can obtain specific health information for employees.question, limited to the range of permission.
In the past, BAs could simply ask the health insuranceFor example, if the initial inquiry was regarding whether
carrier a question related to the personal health of ana claim had been processed for payment, the health
employee and the carrier could provide the answerbenefits carrier would provide a response of "no" or a
directly to the BA. However, this has changed. Inresponse of "yes" that would include the date of
today's workplace, there are rules and restrictions forpayment. Based on the scope and wording of the
obtaining health information on a specific employee.question, what the claim was for and the amount paid
The federal and state governments have issued strictmay not be disclosed.
guidelines with severe penalties concerning the misuseIf this additional information is needed, it must be
or unauthorized disclosure of an individual's protectedaddressed in the initial question and would have to be
health information (PHI).included in the range of permission that the employee
Therefore, it is important that companies and theirgranted. HIPAA guidelines are in place to protect each
designated benefits representative understand theseindividual's personal health information. The federal and
rules and regulations and how they pertain to sharingstate governments are clear as to what can and
an employee's PHI.cannot be shared without authorization and may
Getting permissionimpose civil and monetary fines and penalties for
Benefit administrators can still help employees obtainnoncompliance.
answers to their personal health questions but theyHowever, these regulations do not mean that BAs
must now follow the guidelines set forth by the Healthcannot help employees receive answers to their
Insurance Portability and Accountability Act of 1996personal health questions. Understanding HIPAA
(HIPAA). The HIPAA regulations, effective April 14,guidelines and your health benefit company's policies
2003, impose specific policies and proceduresregarding authorization forms will allow your BA to
governing the use and disclosure of an individual'scontinue to help employees find out answers to
protected health information.important health benefit questions.
In order to make an inquiry on an employee's behalf,For more information on HIPAA guidelines, visit or
the BA must obtain written consent from thereview the HIPAA Regulations at the Department of
employee. The authorization form is usually specific toHealth and Human Services Web site,
the health benefits company to which the inquiry isLINDA JONES has more than 16 years of experience
being made and must contain certain elementsin the health care industry. She has been with Vista
required under HIPAA, including the limitations of theHealth Plan Inc. since 1994. As manager of account
authorization, effective and termination dates, andservices, she is responsible for membership growth
information regarding the individual's rights under theand retention of small and large employer groups.
authorization.