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Acting

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Submitted By christylittle06
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Information Technology Acts Paper
Christy Little
BIS-220
May 19, 2014
Eileen Buckholtz

Information Technology Acts Paper The creation of the Health Insurance Portability and Accountability Act (HIPAA) and the Electronic Funds Transfer Act were designed to protect individual’s personal information. These two acts aim at protecting important personal information that can make an individual vulnerable to identity theft and other crimes. In the growing world of technology, individuals need protection and privacy from potential criminals. The Health Insurance Portability and Accountability Act (HIPAA) was passed on August 21, 1996 with a goal to provide safe electronic transfers of personal health information ("American Academy Of Pediatrics ", 2005). With the development of the Electronic Health Record (EHR), an individual’s personal health information could be easily shared in-house or by outside networks. These types of electronic files can be shared between physicians, clinics, insurance companies to the individuals themselves. EHR’s are taking the place of paper files that take up valuable space in offices and endless fees for supplies. EHR’s contain information such as age, weight, diseases, immunization status, or complete medical histories. Whether the breach of privacy is intentional or unintentional, vital information can be at the finger- tips of criminals enabling crimes such as identity theft or publically humiliating famous people. One of the main goals of HIPAA is to limit the access of individual’s health information to those necessary for treatment. By limiting who and why personal health files can be accessed, we are protecting the patient from potential threats. The Electronic Funds Transfer Act of 1978 was passed with a goal of protecting customer information such as bank account numbers, and establishes liabilities of individuals and other participants involved in the transaction. Electronic Funds Transfers can be described as the use of automated teller machines (ATM), telephone bill pay systems, and point of sale terminals like the self-check out machines in retail stores. The Electronic Funds Transfer Act protects the customer in the event an error is made by ensuring the customer the error will be researched instead of being ignored. An example of how individuals benefit from the Electronic Funds Transfer Act is the extent of liability the consumer faces if a debit or credit card is lost or stolen. If the financial institution is notified immediately that a loss of the card has taken place the financial liability will be zero. However if you wait to notify the financial institution of a loss of the card you may be liable up to $50 ("California Department Of Consumer Affairs ", 2014).
With the rapid growth of information technology, these acts are needed to regulate and protect the consumers as well as businesses. HIPAA and the Electronic Funds Transfer Act provide extensive protection to personal, health, financial and other important information.

References:
American Academy of Pediatrics. (2005). Retrieved from http://www.aap.org/en-us/professional-resources/practice-support/practice-management/HIPAA/pages/HIPAA-Overview.aspx
California Department of Consumer Affairs. (2014). Retrieved from http://www.dca.ca.gov/publications/legal_guides/cr-6.shtml

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