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HHS reported that in early 2018, Fresenius Medical Care North America agreed to pay $3.5 million to settle potential HIPAA violations. Department of Health & Human Services ( enforces HIPAA. This regulation covers any service provider who has access to protected health information (PHI) including subcontractors who create, receive, maintain or transmit PHI on behalf of a business associate, including cloud providers.
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While the cloud makes file storage and sharing comfortable and convenient, its security risks are significant enough to have pushed for the Health Information Technology for Economic and Clinical Health (HITECH) Act of 2009. Unfortunately for patients and providers, technology and the many advantages of the cloud, including its scalability, cost-efficiency, and flexibility have continued to outpace legislation. Since the Health Insurance Portability and Accountability Act (HIPAA) was enacted in 1996, there have been notable advances in protecting the privacy of patient information handled by healthcare plans, health care clearinghouses and certain types of healthcare providers.