Are small providers or small plans exempt from HIPAA?
There are some exemptions for plans with less than 50 members. However, unless they are self-administered, this exemption does not apply. We assume that all of our clients are subject to HIPAA. There are some benefits to being a small health plan with less than five million in receipts. For example, small health plans did not have to file for the extension to obtain the additional year for compliance. Additionally, they will have an additional year to implement the security rule requirements. Small providers may also obtain a Medicare exemption for filing electronic claims. This will probably result in the provider continuing to submit paper claims.
