What are HIPAA Sanctions?
HIPAA sanctions include a range of penalties for HIPAA violations. The financial and other penalties incurred as a result of HIPAA violations and data breaches can be extraordinarily costly. These can range from significant fines that vary by violation, employee sanctions, organizational costs of issuing breach notifications and mitigating damages following breaches, to the further possibility of criminal prosecution.
Many covered entities and business associates apply employee sanctions for HIPAA violations depending on the magnitude of the breach—whether a violation was intentional or accidental and whether the employee reported the violation as soon as possible. Sanctions can apply to employees who were aware that a HIPAA violation by another employee had occurred but failed to report it. Employee training can prevent HIPAA violations from occurring, whether intentional or accidental.
An organization can receive a fine whether a violation was unintentional or deliberate. Civil violations often involve situations where a covered entity fails to resolve a breach violation, and the application of civil money penalties helps compensate for the violation. The Office for Civil Rights separates civil money penalties into four categories that range from a Tier 1 violation committed without an entity having known (incurring a possible fine of $100 – $50,000 per violation, with an annual maximum of $25,000 for repeat violations) to a Tier 4 violation in which a breach occurred due to willful negligence and without remedy to the cause of the violation (incurring a fine of $50,000 per violation, and capped at $1.5 million per year). A revised interpretation of the HITECH Act implemented caps, with annual maximums increasing with the severity of the violation tier—a change intended to acknowledge an entity’s level of culpability in a breach and set maximum fines accordingly.
Companies that manage and monitor their HIPAA compliance on an ongoing basis can more successfully identify any potential data security risks or threats and mitigate those risks before they turn into larger and costlier problems.
Additional resources you might like:
Coffee and Compliance: Building Trust to Drive Business Growth
Join our live webinar on May 23 at 12 PM where VP of Product Chase Lee, and Staff Product Manager Sanjay Padval as they demonstrate a brief overview and provide guidance on advancing your security program beyond building or improving. Learn how to enhance customer satisfaction and gain a competitive advantage, accelerating your business growth.
Café et compliance : les clés pour booster sa croissance en tant que startup
Pour vendre à des entreprises, les startups doivent garantir la protection des données de leurs clients en prouvant qu’elles ont mis en place les bonnes pratiques de sécurité. Pour cela, elles peuvent obtenir une certification comme la norme ISO 27001. Ce webinar explique les différents contrôles de sécurité à effectuer, les avantages de la certification et comment automatiser jusqu'à 90% du processus avec Vanta. Sébastien, CTO et co-fondateur de Leeway reviendra sur son expérience avec Vanta, et les participants pourront échanger avec notre responsable commerciale en France et notre expert en certification.
Introducing Vanta Workspaces
We’re thrilled to announce Vanta Workspaces, a new capability in our platform that enables complex organizations with multiple business units to easily customize, manage, and automate compliance at both the business unit and parent organization level in a single Vanta account.