What is the HITECH Act?

An american flag and stethoscope on a shiny desk depicting the HITECH Act

As electronic health record (EHR) requirements and more stringent enforcement of HIPAA privacy laws went into effect during the last decade, the demand for professionals to help guide practices increased with it.

One of the reasons for the demand is found in the Health Information Technology for Economic and Clinical Health Act, or HITECH Act for short. Passed as part of the American Recovery and Reinvestment Act of 2009 (ARRA), this legislation accelerated the creation of EHR systems among healthcare providers.

The impact has been significant growth in the healthcare technology field as professionals in areas such as research informatics, IT, electronic medical records and other related disciplines see a significant number of opportunities in the job market.

Why is the HITECH Act Important?

The HITECH Act brought with it a number of factors that have helped drive the demand for IT-related professionals within the healthcare industry.

Some that are of great importance to medical practices include:

  1. Enhanced HIPPA enforcement: The HITECH Act created more rigorous enforcement of HIPPA (Health Insurance Portability and Accountability Act of 1996). The legislation includes mandatory penalties for “willful neglect.” Penalties can be expensive: as much as $250,000, with repeat or uncorrected violations carrying fees as high as $1.5 million. State attorneys general are still responsible for bringing cause of action, but Health and Human Services is now legally bound to conduct audits of entities covered under the act as well as related business associates.
  2. Breach notifications: The HITECH Act requires practices to notify patients of any unsecured data breaches related to Protected Health Information (PHI). If a breach affects 500 or more patients, HHS must also be notified. Notification requirements are triggered whether the breach occurs internally or externally.
  3. Electronic Health Record Access: The act requires patients and designated third parties to be given access to their PHI in an electronic format. This applies to providers who have implemented an EHR system.
  4. Policing business associates: Under the HITECH Act, business associates are now required to comply with the measures provided for in the HIPAA Security Rule.

Impacts on Employment

Some market analysts have estimated more than 50,000 new jobs will be created over the next five years. The U.S. Bureau of Labor Statistics anticipates the healthcare industry to become the “largest major employment sector” during the next decade as it strives to keep up with new regulations and increased demand as the Baby Boom generation hits retirement age.

The HITECH Act itself allotted $25.9 billion for the expansion of healthcare IT. Some of the top jobs in the industry include clinical research informatics, IT specialists, electronic medical records administrators and graduate program directors.

The field is potentially lucrative. According to the American Health Information Management Association, mid-range salaries for health informatics consultants are in the upper $80,000s. Those in management can earn salaries as high as $200,000.

Students interested in taking advantage of the doors opened by the HITECH Act are urged to conduct their own research. Job availability and salaries may vary based on position, employer and geographical location.

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