Is it surprising that Engineers in healthcare dont read the actual HIPAA documentation?
Use of health data is permitted so long as it’s for payment, treatment or operations. Disclosures and patient consent are not required.
There are helpful summaries on the US Department of Health and Humans Services website of the various rules (Security, Privacy & Notification)
Source: https://www.hhs.gov/hipaa/for-professionals/privacy/guidance...
This allowance is permitted to covered entities and by extension their vendors (business associates) by HIPAA.
If it wasn’t then, theoretically the US healthcare industry would grind to a halt considering the number of intermediaries for a single transaction.
Example:
Doctor writes script -> EHR -> Pharmacy -> Switch -> Clearinghouse —> PA Processing -> PBM/Plan makes determination
Along this flow there are other possible branches and vendors.
It’s beyond complex.