HIPAA was created in 1996 in order for Covered Entities (Health plan, health care clearing houses and health care provider) to protect and secure a person’s private health information (PHI). Its main focus is to eradicate worker discrimination due pre-existing conditions. Nonetheless, HIPAA concentrated on the implementation of a distributed electronic system to improve administrative transactions among covered entities. However, early stages of HIPAA provisions left many gaps opened. As an example: HIPPA did not specify how information should be protected; what methods, rules or standard needed to be enforced. Newer updates to the act addressed all pre-existing inquiries. The task to implement security standards was assigned to the Department
