HHS and FTC Announce New Breach Notification Rules for Unsecured Protected Health Information

On August 24 and 25, 2009, the Department of Health and Human Services (“HHS”) and the Federal Trade Commission (“FTC”), respectively published rules on when and how covered entities regulated by the Health Insurance Portability and Accountability Act of 1996 (“HIPAA”) and vendors of personal health records (“PHR”) must notify individuals of security breaches concerning their unsecured protected health information (“PHI”). With its rule, HHS also provided guidance on securing PHI through “encryption” and “destruction” measures. While compliance with these security measures is not required, conformance to the guidance offers a relative safe harbor for covered entities and vendors in the event of a security breach.  See September 1, 2009 client alert from Proskauer's Health Care Department for additional information.

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