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HHS to cap HIPAA fines based on ‘culpability’
Modern Healthcare

HHS updated the maximum it will penalize providers, health plans and their business associates in the wake of HIPAA violations, in some cases dropping the upper limit by more than $1 million.

The new system sets annual limits for these fines based on the organization’s “level of culpability” associated with the HIPAA violation, according to the department’s notice of enforcement discretion released late Friday. That means organizations that have taken measures to meet HIPAA’s requirements will face a much smaller maximum penalty than those who are found neglectful.